MARFIN ΕΓΝΑΤΙΑ ΤΡΑΠΕΖΑ

The results of the EGNATIA BANK GROUP for the first semester 2005 showed significant growth.

The Group?s deposits on 30.6.2005 reached ? 2,376.4 million whereas the Bank?s reached euros 2,336.5 million, representing an increase compared to the equivalent period (first semester) in 2004, of 7.5% at the Group level and 6.7% at the Bank level.

The Group?s pre-provision Loans on 30.6.2005 reached euros 2,254.80 million whereas the Bank?s reached euros 2,151.6 million representing an increase compared to the equivalent period in 2004 of 9.1% for the Group and 7.6% for the Bank.

At the end of the first semester 2005, the Loan to Deposit Ratio was at 95% and is a result of the Bank?s stable policy of more effective deposit management.

The Group?s assets reached euros 2,871.4 million and the Bank?s euros 2,787.5 million representing an annualized increase of 10.2% and 9.2% respectively. It must be noted that the Group?s cumulative loan provisions reached on 30.6.05 euros 108.4 million and represent 4.8% of total loans.

The Group?s net interest income amounted to euros 48,181.4 thousand representing an increase of 1.2% compared to the same period in 2004. On an annualized basis, the margin between the cost of capital acquisition (deposits, bonds, interbank lending) and its placement (loans, bonds, interbank deposits) increased during the second quarter 2005 and reached 3.60%, compared to 3.38% in the first quarter 2005.

Net Commissions reached euros 17,207.9 thousand, showing an increase of 1.6% compared to the first semester 2004, whereas Total Operating Income reached euros 69,516.0 thousand, showing a reduction of 1.6% due mainly to reduced income from investment properties.

The Group?s Staff Costs increased by 11.9% reaching euros 30,475.1 thousand influenced mainly by the increase in personnel (5.4%), a result of the expansion of the Branch Network ? Business Centers. However, General Operating Expenses dropped by 9.9% and were sustained at euros 13,722.5 thousand due to the general policy of keeping them contained.

As a result of the above, the Group?s after tax profits reached euros 10,941.5 thousand showing an increase of 2.5% compared to the previous year. On a consolidated basis the Share Capital Return Ratio touched the 10% mark and Return on Assets Ratio 0.8%.

As can be seen from the breakdown of the loan portfolio, the Bank is systematically increasing its share in the corporate finance market. The new products specifically designed for companies, in conjunction with the expansion and maturation of the Business Centers which exclusively serve companies, have helped improve the quality and speed of service and this has resulted in an increase in the number of corporate clients. In the area of mortgage finance, new, attractive housing products were designed and promoted in order to spearhead the Bank?s approach along with Egnatia One, and the Bank has succeeded in penetrating this market and has significantly increased its market share.

The Bank is strengthening the presence of EGNATIA BANK (ROMANIA) S.A. by opening two new Branches which will open for business in the immediate future (the first in October and the second in December 2005) and next year the Bank will be opening a further six branches.