The managements of EFG Eurobank Ergasias SA and Telesis Investment Bank SA announce that they will propose to their respective Boards of Directors the merger by absorption of the two banks with an effective merger date of 31.12.2000 and with EFG Eurobank Ergasias absorbing Telesis. The two managements consider a share exchange ratio of 2.2 Telesis shares for each EFG Eurobank Ergasias share to be fair and reasonable and they will be proposing such share exchange ratio to the two Boards of Directors. Completion of the merger is subject to the approval of the Boards of Directors and of the General Assemblies of both banks, which will be called upon to decide subsequently to the opinion of two independent audit firms on the fairness of the share exchange ratio. Furthermore, completion of the merger is subject to the approval of all relevant supervisory authorities.The closing price of ?19.70 for EFG Eurobank Ergasias on 16.03.01 and the proposed share exchange ratio lead to a share value for Telesis of ?8.95.Telesis is recognised as strong player in investment banking and associated services based on its modern know-how and high calibre personnel. The merger of the two banks and of their subsidiaries further strengthens EFG Eurobank Ergasias' leading position in investment banking, equities and derivatives brokerage and asset management. The merger creates all the necessary conditions for the development of new distribution channels for investment and brokerage products and for a stronger presence in European markets in co-operation with Deutsche Bank. The merged entity can provide integrated financial services to Greek enterprises, institutional investors and private banking clients and can expand its operations in the Balkans. The new, enlarged EFG Eurobank Ergasias Group will hold leading positions in equities brokerage activities, investment banking and IPOs with a modern infrastructure allowing for expanded electronic and international transactions. The primary competitive advantage of the two Groups is the calibre of their human resources, who will jointly implement a modern growth and profitability strategy.Following the completion of the merger, Mr. Victor Asser will be Managing Director and Ms. Athina Dessypri will be General Manager of the unified brokerage company. Mr. Victor Pisante and Ms. Marina Efraimoglou will be Managing Directors of EFG Finance SA, which will be renamed EFG Telesis Finance SA. Mr. Nikolaos B. Karamouzis, Deputy Managing Director of EFG Eurobank Ergasias, and Chairman of EFG Telesis Finance and of the unified brokerage company, will be responsible for managing the sectors mentioned above.