1. 30/06/2012 Overview

2. 2 Net Operating Earnings and ROE NIS Millions 281 NIS Millions 285 NIS Millions

3. Statements of income 1-6/2012- 1-6/2011 NIS Millions Gross change 1-6/20111-6/2012 23 1,0841,107 Net interest income 520 Expenses (income) for credit losses (0.16% provision rate) (29)1,0841,055 Net interest income after expenses for credit losses (39) 797758 Total non-interest income 37 3673 Of which: income (expenses) non-interest (63)743680 Commissions (decrease stems mainly from decreses in customers activity in the capital markets) (13)185 Other Income (38)1,4341,396 Total operating and other expenses ((21847826 Of which: salaries and related expenses (including losses appointed time compensation) ((1221220 Holding and depreciation on buildings and equipment 57984 Amortization and impairment of intangible assets (21)287266 Other expenses (30)447417 Profit before tax 187 147 Provision for taxes on income (5) 30 25 Bank’s share of profit of associates 4281285 Net earnings 10.4%9.8% ROE 8.36%9.0% Core (Tier 1) capital ratio (end of period) 3

4. Statements of income 4-6/2012- 1-3/2012 NIS Millions Gross change 1-3/20124-6/2012 37535572 Net interest income (10)3121 Expenses (income) for credit losses (0.13% provision rate) 47504551 Net interest income after expenses for credit losses (48)403355 Total non-interest income 4338342 Commissions (52)6513 Of which: income (expenses) non-interest (62)4319)) Of which: reconciliations to fair value of derivatives (4)700696 Total operating and other expenses 10))418408 Of which: salaries and related expenses (including losses appointed time compensation) (2)111109 Holding and depreciation on buildings and equipment 24143 Amortization and impairment of intangible assets 6130136 Other expenses 207210 Profit before tax 1 73 74 Provision for taxes on income (1) 13 12 Bank’s share of profit of associates 1142143 Net earnings 9.9%9.8% ROE 8.81%9.0% Core (Tier 1) capital ratio (end of period) 4

5. 5 The ratio of total income to total risk assets (return of income on risk assets)

6. 1-6/20121-6/2011 Operating & Other Expenses NIS Millions 21- 5+ 21- 38- 6

7. Efficiency Ratio: Total income to operating expenses 7 Total income % Operating Expenses / Total Income 1-6/2011 operating expenses Ratio of total income to operating expenses

8. Credit to the public NIS Millions 8 Credit to the public by operating segments Change in % compared to 30.06.1131.12.1130.06.12 30.06.11 6.9% 28,24028,91230,197 Total private clients 7.5% 14,27214,70215,345 Of which: Mortgage 3.0% 13,02313,38713,412 Commercial + small business 2.7% 22,59122,67923,212 business 4.65% 63,85464,97866,821 Total Credit to the public

9. Ratio of Provision for Doubtful Debts to Credit to the Public Other 4 Leading Banks FIBI 9 *Beginning in 2011, all collection on problem debts is shown as Expenses for credit losses instead of earnings from financing operations **The ratio of provision for credit losses to credit to public in the first half of 2012 is 0.16%. New measurement according to new B.O.I Doubtful Debts Regulation*

10. Deposits from the public 10 Deposits by segments activity Change in % compared to 30.06.11 31.12.1130.06.12 10.0%21,57823,57123,742 Private banking 10.1%24,65326,36527,137 household 10.1%46,23149,93650,879 Total private deposits ((0.5%10,69011,13810,637 Commercial + small business (2.9%)22,16420,31321,512 business 5.0%79,08581,38783,028 Total NIS Millions

11. Composition of Total Proprietary Trading Book Composition 31.03.12 Composition 30.06.12 Volume 31.03.12 Volume 30.06.12 75%74% 9,2658,530 Government bonds & Secured by Government bonds 92%90% State of Israel bonds 14%15%1,6591,709 Commercial Banks bonds 4% 542465 Shares 7%8%881879 Other 180145 Of which: Fx Corporate Bonds 701735 Of which: NIS Corporate Bonds 100% 12,34711,583 Total NIS Millions Government bonds & Secured by Government bonds 74% Total 84*Spain 78*Italy 0Portugal 0Greece 0Ireland NIS Millions 11 PIIGS proprietary trading book exposure *No significant change in the quarter

12. Deposits from the Public 83.0 NIS Billion Deposits to Credit Ratio Liquid Assets to Deposits Ratio Capital Adequacy Basel II Tier 1 Capital Adequacy :Of which Corporate and Commercial 36.3 15.2Consumer 15.3 Mortgage Credit to the Public 66.8 NIS Billion Gov. & Bank Deposits 1. 5 NIS Billion 9.0% 124.3% 32.3% 39.3% Of capital available for Investments State of Israel Bonds: 7.6 NIS Billion Deposits-Bank of Israel: 16.4 NIS Billion Sovereigns Bonds: 0.9 NIS Billion Deposits in Banks: 2.4 NIS Billion Banks Bonds: 1.7 NIS Billion NIS+foreign Corporate Bonds: 0.9 NIS Billion Structure Products, Hedge Funds & Stocks:0.7 NIS Billion Market Risks in VAR Terms: (0.03) NIS Billion Capital Notes 5.4 NIS Billion Capital available for Investments 4.1 NIS Billion 13.82%  11.07% Credit against liquid assets FIBI Strategic Assets & Liabilities Structure NIS Millions 12

13. 14.30% 14.57% 13.42% Capital Adequacy Ratio Basel II – 30.06.12 * * * * ** -1.3 - 1.7 - 1.71 0.97- 1.62- 0.75- % 13 - 0.7

14. Key Concentration Indicators 14 Herfindahl index (H) of sector concentration of commercial credit portfolio* Gini index of distribution of credit by borrower size** The share of credit to borrowers whose liability greater than 40 million NIS out of Total ***credit FIBI BANK 5 BANKING GROUPS FIBI BANK 5 BANKING GROUPS FIBI BANK 5 BANKING GROUPS Year 0.1900.1740.897 41.044.52007 0.172 0.8370.89633.743.12008 0.177 0.8540.89730.841.42009 0.1770.1810.8550.90233.341.62010 0.1680.1820.8460.90329.340.62011 *The index range moves from 0 ( full distribution) to 1 (full concentration) (Maximally inequality in the share of credit) 1 to(equality **The index range moves from 0 (full ***The index range moves from 0% (no credit meets the criterion) to 100% (all of the credit is over 40 million NIS)

15. 15 RAROC Index Bank of Israel’s RAROC index measures the risk adjusted return in the 5 leading bank’s. The index evaluates what is the excess return that shows each bank relative to riskless assets Bank of Israel RAROC Index

16. Changes in Net Profit - Subsidiaries NIS Millions Core (Tier 1) capital ratio ROE Percent change relative to H1/2011 H1/2012 8.76% 11.1% 21%50.2 15.0% 11.9% (16.2%)23.8 11.4% 13.1% 5.2%22.4 13.71% 10.7% 21.8%20.1 16

17. Q2 Highlights 17  Continued improvement in earnings from financing operations from core banking activity  Continued growth of the credit portfolio, mainly in consumer credit and mortgages, as well as commercial and corporate credit - leading to a decrease in concentration indices and improved distribution; FIBI’s market share (local market): 9.2%  Core capital ratio: 9%, the highest in the industry  In Q2, capital market commissions stabilized after declines due to slowing in market activity; FIBI maintained its market share throughout  Decreased expenses (operating and other) due to fiscal restraint