Consolidated Half Year Report As at 30Th June 2008

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Consolidated Half Year Report as at 30th June 2008

Joint stock co-operative company Registered office: Bergamo, Piazza Vittorio Veneto 8 Operating offices: Bergamo, Piazza Vittorio Veneto 8; Brescia, Via Cefalonia 74 Member of the Interbank Deposit Protection Fund and the National Guarantee Fund Tax Code, VAT No. and Bergamo Company Registration No. 03053920165 ABI (Italian Banking Association) 3111.2 Register of Banks No. 5678 Register of banking groups No. 3111.2 Parent Bank of the Unione di Banche Italiane Banking Group Share capital as at 30th June 2008: Euro 1.597.864.755,00 fully paid up

www.ubibanca.it

WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Contents

UBI Banca: company officers...... p. 3 UBI Banca Group: principal figures and performance indicators...... p. 4 UBI Banca Group: branch network...... p. 5 UBI Banca Group: the main investments as at 30th June 2008 ...... p. 6 The rating ...... p. 8

DIRECTORS’ INTERIM REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS The macroeconomic scenario...... p. 12 Strategic lines of development ...... p. 16 The distribution network and positioning……………...... p. 20 Human resources...... p. 24 The consolidation scope ...... p. 29 Reclassified consolidated financial statements and reconciliations ...... p. 37 - Notes to the financial statements...... p. 37 - Reclassified consolidated balance sheet ...... p. 39 - Reclassified consolidated income statement...... p. 40 - Reclassified consolidated quarterly income statements ...... p. 41 - Reclassified consolidated income statement net of the most significant non recurring items...... p. 42 - Reconciliation schedules ...... p. 43 Traditional banking business ...... p. 45 - Direct funding ...... p. 45 - Indirect funding and assets under management ...... p. 48 - Lending...... p. 49 The interbank market and the liquidity situation ...... p. 54 Financial activities ...... p. 56 Position of the UBI Group on risks assumed with trading in structured credit products – fair value of financial instruments – trading with customers in structured derivative products ...... p. 63 Information on risks and hedging policies ...... p. 75 - The principal risks and uncertainties for the second half of the year...... p. 87 Property, plant and equipment and intangible assets ...... p. 90 Non current assets/liabilities held for disposal...... p. 92 Provisions for liabilities and charges...... p. 93 Contingent liabilities ...... p. 94 The income statement ...... p. 95 Shareholders’ equity and capital adequacy ...... p. 105 Information on share capital, the share, dividends paid and earnings per share ...... p. 107 Consolidated companies: the principal figures...... p. 111 - Information on the principal banks in the Group ...... p. 115 Segment reporting...... p. 124 Transactions with related parties ...... p. 125 Other information ...... p. 132 - Litigation...... p. 132 - Initiatives in favour of residential mortgage holders ...... p. 132 - Antitrust Authority proceedings on the portability of mortgages...... p. 134 - Branch disposals for antitrust authority compliance...... p. 135 - Supervisory measures concerning the organisation and corporate governance of banks..p. 135 - Inspections...... p. 136 - Tax aspects ...... p. 136 - “Dormant” accounts ...... p. 138

1 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - The application of maximum overdraft charges...... p. 139 Significant subsequent events occurring after 30th June 2008...... p. 140 Business outlook ...... p. 141

CONDENSED HALF YEAR CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE PERIOD ENDED 30TH JUNE 2008 Condensed half year mandatory consolidated financial statements as at and for the period ended 30th June 2008...... p. 144 - Consolidated balance sheet ...... p. 144 - Consolidated income statement ...... p. 146 - Statement of changes in consolidated shareholders’ equity as at 30th June 2008 ...... p. 147 - Statement of changes in consolidated shareholders’ equity as at 30th June 2007 ...... p. 148 - Consolidated statement of cash flows ...... pag. 149 Illustrative notes ...... p. 151 - Accounting policies...... pag. 151 - Explanatory tables ...... pag. 156

STATEMENT OF THE CHIEF EXECUTIVE OFFICER AND OF THE SENIOR OFFICER RESPONSIBLE FOR THE PREPARATION OF THE CORPORATE ACCOUTING DOCUMENTS...... p. 161

INDEPENDENT AUDITORS’ REPORT...... p. 165

INFORMATION ON THE PERFORMANCE OF THE PARENT BANK, UBI BANCA SCPA IN THE FIRST HALF OF 2008 Reclassified financial statements and reconciliation schedules...... p. 170 - Notes to the financial statements...... p. 170 - Reclassified balance sheet ...... p. 172 - Reclassified income statement ...... p. 173 - Reclassified quarterly income statements ...... p. 174 - Reclassified income statement net of the most significant non recurring items ...... p. 175 - Reconciliation schedules ...... p. 176 Performance in the period ...... p. 178 Separate condensed half year mandatory financial statements as at and for the period ended 30th June 2008 ...... p. 183 - Balance sheet ...... p. 183 - Income statement...... p. 185 - Statement of changes in shareholders’ equity as at 30th June 2008 ...... p. 186 - Statement of changes in shareholders’ equity as at 30th June 2007 ...... p. 187 - Statement of cash flows...... p. 188 List of significant equity investments held in unlisted companies as at 30th June 2008 ...... p. 190

DE JURE AND DELEGATED POWERS OF THE CORPORATE BODIES...... p. 195

GLOSSARY ...... p. 201

BRANCH NETWORK OF THE UBI BANCA GROUP

CALENDAR OF CORPORATE EVENTS FOR 2008

CONTACTS

Key The following abbreviations are used in the tables: - dash (-): when the item does not exist; - not significant (n.s.): when the figure is insufficient to reach the minimum level in question or is in any case not significant; - not available (n.a.): when the information is not available - a cross “X”: when no amount is to be given for the item (in compliance with Bank of Italy instructions). All figures are given in thousands of euros, unless indicated otherwise.

2 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f UBI Banca: company officers

Honorary Chairman Giuseppe Vigorelli

Supervisory Board Chairman Corrado Faissola Senior Deputy Chairman Giuseppe Calvi Deputy Chairman Alberto Folonari Deputy Chairman Mario Mazzoleni Battista Albertani Giovanni Bazoli Luigi Bellini Mario Cattaneo Paolo Ferro-Luzzi Virginio Fidanza Enio Fontana Carlo Garavaglia Pietro Gussalli Beretta Giuseppe Lucchini Italo Lucchini Federico Manzoni Andrea Moltrasio Toti S. Musumeci Sergio Orlandi Alessandro Pedersoli Giorgio Perolari Sergio Pivato Roberto Sestini

Management Board Chairman Emilio Zanetti Deputy Chairman Flavio Pizzini Chief Executive Officer Giampiero Auletta Armenise Piero Bertolotto Mario Boselli Giuseppe Camadini Mario Cera Giorgio Frigeri Alfredo Gusmini Franco Polotti

General Management General Manager Victor Massiah Joint General Manager Graziano Caldiani Deputy General Manager Francesco Iorio Deputy General Manager Rossella Leidi Deputy General Manager Ettore Medda Deputy General Manager Pierangelo Rigamonti Deputy General Manager Elvio Sonnino Deputy General Manager Gian Cesare Toffetti

Senior Officer Responsible in accordance with Art. 154 bis of the Consolidated Finance Act Elisabetta Stegher

Independent auditors KPMG Spa

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UBI Banca Group: Principal figures and indicators1

31.12.2007 30.6.2007 30.6.2008 pro-forma pro-forma

STRUCTURAL INDICATORS Net lending to customers/total assets 79,9% 78,4% 74,5% Funding from customers/total liabilities 77,5% 76,2% 73,0% Net lending to customers/funding from customers 103,1% 102,9% 102,0% Equity (excluding profit for the period)/total liabilities 9,0% 9,1% 8,9% Assets under management/indirect funding from private customers 54,8% 56,5% 58,1%

PROFIT INDICATORS ROE (Profit for the period/equity excluding profit for the period) annualised 9,6% 8,7% 6,6% ROE net of non-recurring items annualised 7,6% 7,1% 8,2% ROE excluding goodwill arising from merger (net profit excluding PPA)/(equity - former BL goodwill arising from merger) annualised 15,4% 14,0% 11,0% Normalised ROE excluding the Purchase Price Allocation (normalised net profit excluding PPA/equity - PPA for former BL) annualised 12,5% 11,6% 13,3% ROA (Profit for the period/total assets) annualised 0,9% 0,8% 0,5% Cost/income ratio (operating expenses/income) including PPA 58,6% 57,4% 55,5% Cost/income ratio net of non-recurring items including PPA 58,7% 58,6% 57,7% Cost/income ratio (operating expenses/income) excluding the PPA 55,9% 54,9% 52,9% Cost/income ratio (operating expenses/income) net of non-recurring items excluding the PPA 56,0% 56,1% 55,1% Net impairment losses on loans/net lending to customers (cost of lending) annualised 0,32% 0,37% 0,25% Net impairment losses on loans net of the change in the criteria for calculating collective impairment/net lending to customers annualised 0,32% 0,28% 0,25% Net interest income/operating income 65,2% 60,6% 57,9% Staff costs/operating income 36,0% 34,6% 33,7%

RISK INDICATORS Net non-performing + net impaired loans/net lending to customers 1,66% 1,56% 1,41% Net impairment losses on non-performing and impaired loans/ gross non-performing + gross impaired loans (coverage) 39,76% 40,05% 41,64% Net non-performing loans / net loans to customers 0,77% 0,75% 0,69%

Net impairment losses on non-performing loans/gross non-performing loans (coverage for non-performing loans) 54,62% 53,99% 55,17%

BALANCE SHEET FIGURES (in thousands of euro), OPERATING AND STRUCTURAL

Net loans to customers 96.506.114 92.972.478 90.613.403 of which: net non-performing loans 739.967 699.153 624.013 net impaired loans 862.331 754.790 650.305 Direct funding from customers 93.601.464 90.346.395 88.829.625 Indirect funding from customers 82.852.749 90.795.333 95.332.372 of which: assets under management 45.370.082 51.324.145 55.380.751 Total funding from customers 176.454.213 181.141.728 184.161.997 Equity (excluding profit for the period) 10.841.295 10.849.349 10.879.376 Total assets 120.718.032 118.600.857 121.620.514 Branches in Italy (number) - the figure for June 2007 includes branches sold at the end of year 1.929 1.908 1.958 Total human resources (employees + temps) (number) (*) 21.550 21.019 21.475 Financial advisors (number) 957 954 995

1 The indicators have been calculated using the reclassified figures (pro-forma as at 31st December 2007 and as at 30th June 2007) contained in the section “Reclassified consolidated financial statements and reconciliations”.

(*) The figure as at 30th June 2008 includes 525 temporary staff recruited for “peak” activity in relation to summer absences and to temporary requirements for the IT migration.

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7 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The Rating

The tables given below summarise the ratings assigned to Group by the international agencies, Standard & Poor’s, Fitch Ratings and Moody’s.

To complete the information, on 5th March 2008, as part of a general analysis of the current difficult market situation and the economic slowdown, Standard & Poor’s published an update of its summary for the Group, with no change to the rating and to the Positive Outlook previously assigned.

STANDARD & POOR’S (i) The ability to repay debt maturing in less than one year.

(A-1: best rating – D: worst rating) Short-term Counterparty Credit Rating (i) A-1

Long-term Counterparty Credit Rating (ii) A (ii) With reference to debt maturing after one year, it indicates the ability to pay interest and repay principal, together with

Outlook Positive any sensitivity to the adverse effects of changes in RATINGS ON ISSUES circumstances or economic conditions. Senior unsecured debt A (AAA: best rating – D: worst rating) Short-term debt A-1 Subordinated debt A- Preference shares BBB+ Tier III subordinated debt BBB+

(I) The ability to repay long-term debt (maturing after one year) MOODY'S in local currency. By using the JDA method (Joint Default Analysis), this rating associates the financial strength rating Long-term debt and deposit rating (I) A1 (BFSR – Bank Financial Strength Rating) with the probability

Short-term debt and deposit rating (II) Prime-1 of intervention if needed by external support (shareholders, the group to which it belongs or official institutions). Bank Financial Strength Rating (III) C (Aaa: prime quality – Baa3: medium quality). Outlook (deposit ratings) Positive (II) The ability to repay debt in local currency maturing in the Outlook (Bank Financial Strength Rating) Stable short term (due in less than one year).

RATINGS ON ISSUES (Prime -1: highest quality – not prime: speculative grade)

Senior unsecured LT A1 (III) This rating does not relate to the ability to repay debt but Senior unsecured ST P-1 considers the bank’s intrinsic financial strength (by

Upper/Lower Tier II subordinated A2 analysing factors such as its geographical market presence, the diversification of its activities, the financial basics) in the Tier III subordinated A2 absence of external support. Preference shares (A: best rating – E: worst rating). (former BPB-CV and Banca Lombarda) A3

8 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

(1) The ability to repay debt maturing in the short term

FITCH RATINGS (duration of less than 13 months) (F1: best rating – D: worst rating)

Short-term Issuer Default Rating (1) F1 (2) The ability to meet financial commitments in the long term, Long-term Issuer Default Rating (2) A independently of the maturity of individual bonds. This

Bank Individual Rating (3) B/C rating is an indicator of the probability that an issuer will default. Support Rating (4) 2 (AAA: best rating – D: worst rating)

Support Rating Floor (5) BBB (3) An assessment of a bank’s intrinsic strength (profitability, Outlook for Long-term Issuer Default Rating Positive balance sheet strength, commercial network, ability of

RATINGS ON ISSUES management, operational environment and outlook), on the assumption that the bank cannot rely on external support Senior unsecured debt A (possible intervention by a lender of last resort, support from Upper/Lower Tier II subordinated A- shareholders, etc.).

Preference shares (former BPCI) A- (A: best rating - E: worst rating)

Tier III subordinated debt BBB+ (4) A rating of the possibility of concrete and timely external support (from the state or large institutional investors) if the bank finds itself in difficulty. (1: best rating – 5: worst rating) (5) This rating gives additional information, closely linked to the Support Rating, in that for each level of the Support Rating it identifies the minimum level which the Issuer Default Rating could reach if negative events were to occur.

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10 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

DIRECTORS’ INTERIM REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS

UBI Banca Group

11 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

The macroeconomic scenario

The worsening of pressures on international financial markets has slowed growth in the world economy in 2008, still driven by expansion in emerging countries, and more specifically by those in Asia, while growth in developed countries decelerated. At the same time increases in oil and foodstuff raw materials prices – basically attributable to growing demand from developing economies – have generated a widespread increase in inflation, which has fuelled fears that a period of stagflation may commence1. Having ended the first half at 139,8 dollars per barrel (93,9 dollars at the end of 2007), the price of Brent set an all-time new record in July trading at more than 147 dollars per barrel, although it then rapidly fell below 115 dollars in August. Different positions in the business cycle and different policy priorities resulted in the United States and the European monetary authorities taking opposing lines of action: the Federal Reserve preferred to stimulate economic activity and to stabilise financial markets, while the ECB, encouraged by favourable economic performance, pursued a policy of medium to-long term price stability. All the principal central banks continued to intervene, at times with co-ordinated action, to increase the supply of liquidity in order to guarantee the normal functioning of monetary markets.

Although slowing, the United States economy seems to have warded off the risk of recession. Second quarter growth in GDP was 1,9% annualised (after +0,9% in the first three months of the year). The moderate recovery in consumption – stimulated by the package of tax concessions approved in February – and the good performance of net exports more than compensated for the decrease in inventories and the fall in investment caused by the continuing weakness of the residential segment. On the prices front inflation soared to 5% in June and to 5,6% in July (4,2% in May and 4,1% in December). The “core” index, net of foodstuffs and energy products remained stable in the first half at 2,4% in June and 2,5% in July. Worrying signals came from the labour market where the unemployment rate rose to 5,5% in May and June and to 5,7% in July, the highest since the beginning of 2004 after remaining basically stable for four months at the same level as in December (5%). With regard to exchange rates, the US currency remained generally weak, especially against the euro, ending the first half at 1,5755 dollars per euro (+8% compared to December). After a new record low, trading at 1,6040 dollars per euro, the dollar regained strength in the middle of July to trade at 1,47 dollars per euro. The tendency of the “twin deficits” to improve was partially interrupted: the measures taken to relaunch the economy and the lower tax revenues resulting from tax concessions penalised the federal deficit heavily as it rose in the first six months of the year to 162 billion dollars from 40,6 billion in the same period in 2007; although the deficit with OPEC countries worsened, the negative balance of trade fell to 351 billion from 358 billion in the previous year. With regard to monetary policy, the Federal Reserve reduced the federal funds rate four times to its present rate of 2% (a total of 1,25 basis points with two interventions in January, 75 basis points in March and 25 basis points in April) and the discount rate, now at 2,25%, five times. The price increases now in progress could create the conditions for a change of stance in monetary policy.

Although to only a marginal extent, China too is also starting to feel the effect of the worsened international situation. GDP increased on an annual basis in the first half by 10,4% (+12,2% in the first half of 2007), driven by accelerating domestic consumption (+21,4%). The expansionary trend in fixed investments continued (+26,3%), but industrial production is decelerating. The effect of the difference in the growth trends for imports (+30,6%) and exports (+21,9%) – the latter held down by the appreciation of the Yuan against the dollar (6,2% in the

1 The term stagflation is used to describe a situation in which there is a general increase in prices accompanied by stagnation of the economy.

12 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f first six months of the year) – is reduced the contribution to economic performance from net foreign demand, while the trade surplus fell by 12% to 99 billion dollars. After peaking at 8,7% in February, inflation started to fall in May (7,1% in June and 6,3% in July). The People’s Bank of China took more stringent action to tighten the economy in a context of high liquidity (foreign exchange reserves exceeded 1.800 billion dollars) in order to counter price increases. It increased compulsory reserve requirements, now at 17,5%, six times by 50 basis points each, but left the one year bank rate unchanged at 7,47%.

After growth in the first three months of the year (+0,8% the change in GDP compared to the fourth quarter of 2007), the trend for the Japanese economy reversed sharply between April and June (-0,6%) mainly because of exports – penalised by the weaker economies in the United States and Europe and by the appreciation of the Yen against the dollar (4,7% in the first half) – but also because of disappointing results for consumption and investments. The changes in industrial production, negative in both quarters in 2008, were accompanied by a general worsening of confidence by both manufacturing and non manufacturing firms, which was more marked for small enterprises, as summarised in the June Tankan report. The unemployment rate rose progressively to 4,1% at the end of the first half from 3,8% in December, while inflation also shot up to 2% in June after a partial fall in April (0,7% at the end of 2007). Considering the current economic situation, the Bank of Japan left the reference rate (call rate on overnight deposits) unchanged, now at the same rate of 0,5% since February 2007.

A positive first quarter for the economy in the euro area – with GDP up by 0,7% compared to the fourth quarter of 2007, which had benefited from exceptional growth in the German economy (+1,3%) – was also followed by a negative second quarter, which saw GDP fall by 0,2% in quarterly terms, confirming signals that had already appeared of a slowdown in the business cycle. After a year-on-year increase of 4% in April, industrial production in May and June did in fact record negative trends (-0,4% and -0,5%) for the first time since the beginning of the year, while the €-coin2 indicator stabilised during those same months at levels lower than those of potential growth. The unemployment rate remained basically stable compared to December to stand at 7,3% in June. Inflation measured by the harmonised consumer price index rose to 4% in both June and July (3,7% in May and 3,1% in December), a new record high. Net of foodstuffs and energy products along with alcohol and tobacco products, the index stood at 1,8% at the end of the first half (1,7% in July) after peaking in March (2%) and then falling in April (1,6%). The fear that if prices remain higher than the target level for a prolonged period they might compromise medium term stability persuaded the ECB to raise the principal refinancing rate after one year in July by 25 basis points, to bring it to 4,25%. The gap between it and the US federal funds rate therefore increased to 2,25 percentage points.

Italy was not immune from European trends: initial estimates for GDP in the second quarter showed a negative quarterly change of 0,3% after a modest increase in the first three months of the year (+0,5%), attributable to good performance by net foreign demand. Following a partial recovery in April, the industrial production index (adjusted for the number of working days) fell in both May (-4%) and June (-1,8%), to give a generalised fall on aggregate, although of differing magnitude, for almost all sectors of production. Only textiles (+10,1%) and foodstuffs (+1,3%) recorded any significant improvements at the end of the first half. Employment statistics for the first quarter recorded an unemployment rate (seasonally adjusted) of 6,5%, the highest level since the fourth quarter of 2006. As in Europe, inflation, measured by the harmonised consumer price index, continued to rise rapidly reaching 4% both in June and July (2,8% in December), the same level as in 1996. The balance of trade deficit benefited from a larger rise in exports (+8,1%) than in imports (+6,6%) falling to 6,2 billion euro in the first five months of the year from 7,7 billion euro in the

2 The €-coin indicator was developed by the Bank of Italy and publicised in co-operation with the Centre for Economic Policy and Research (CEPR). It provides a rapid estimate of basic growth in the euro area and also gives an estimate, each month, of the position of the euro area economy in the business cycle for that month, filling the information gap caused by delays in updating GDP statistics.

13 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f same period of 2007. The worsened deficit for energy products was more than offset by the surplus for consumer goods and plant and equipment and by the reduction in the deficit for intermediate products. As concerns public accounts, the 2009-2013 DPEF (document for economic and financial programming) recently presented by the Government estimated a net deficit to GDP ratio of 2,5% for the current year (1,9% in 2007), with a break even target for 2011 and a public debt to GDP ratio of 103,9% (104% in 2007).

* * *

At the end of the first half the shorter part of the US yield curve had begun to slope upwards compared with the beginning of the year, anticipating inflationary problems. However it had remained virtually unchanged for longer maturities which confirmed confidence in economic recovery. The European curve on the other hand had shifted generally upwards, as a function of expected intervention by the ECB, accompanied by a sharper upward slope for the short term part as a result of trends for interbank rates with a relative flattening of the curve for medium- to-long-term maturities.

In a context of continuing fragility of international financial markets, affected by economic prospects which had been rendered even more uncertain by price increases, after a partial recovery between the middle of March and the middle of May, equity markets again suffered heavy losses. The principal indices of stock markets in the first six months of the year (in local currencies) performed as follows: -10,5% for the Topix and -12% for the Nikkei 225 of Tokyo; - 12,8% for the S&P 500 of New York; -12,9% for the Ftse 100 of London; -13,5% for the Nasdaq Composite and -14,4% for the DJ Industrial of New York; -20,4% for the Xetra Dax of Frankfurt; -21% for the Cac 40 of Paris; -23,9% for the S&P Mib of Milan. Similarly the MSCI index for emerging markets also suffered a fall of 12,7%.

In parallel with this, outflows from mutual investment funds also intensified further: according to the latest reports furnished by Assogestioni (national association of asset management companies)3, net inflows for the first half were negative by 70,4 billion euro (53,2 billion for the whole of 2007) and no longer affected Italian registered funds only (-41,9 billion), but also foreign funds (-28,5 billion). While the sectors hit hardest were again bonds (-29,5 billion) and equities (-22,6 billion), flexible funds also recorded negative results (-8,5 billion), having reversed the negative trend recorded in 2007, along with balanced (-5,6 billion), monetary (-8,5 billion) and hedge (-1,1 billion) funds. As a result assets under management had decreased at the end of June to 515 billion euro (-9,7% compared to 570,1 billion in December).

* * *

As concerns the Italian banking sector, the first ABI (Italian Banking Association) estimates for June confirmed the current acceleration of growth in funding in progress (savings deposits, current accounts, certificates of deposit and bonds), up by 10,7% on an annual basis, the result of strong progress made by bonds (+20,1%), which now account for approximately 46% of the total. The increase for all the other types of funding was 3,8%. As concerns loans, while annual growth in lending remained high (+8,3% in June), it had slackened off progressively since March and continues to be driven by both the medium-to- long-term (+8,5%) and the short term (+8%) components. The trend for lending reflects a demand for finance from businesses which is again strong (+12,1%), against a marked slowdown in lending to households (+2,7%). More specifically, loans for the purchase of homes had increased on an annual basis at the end of the first half by only 0,7%.

3 Estimates have been used since June 2008 to include a greater number of products managed by foreign companies which are unable to furnish statistics at the beginning of the month. Furthermore, the classification on the basis of “Italian funds”, “round-trip funds” and “foreign funds” has been abandoned and replaced by information on the nationality of the group (Italian groups, foreign groups) and the residence of the funds (Italian registered and foreign registered funds).

14 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f From the viewpoint of risk, non performing loans gross of write downs had decreased over twelve months by 6,2% (-4,3% for loans to households and -6,9% for lending to businesses), while the stock of net non performing loans had decreased more modestly by 1,3%. Consequently the ratio of net non performing loans to lending had improved to 1,02% (1,11% in December 2007), while the ratio of non performing loans to supervisory capital had fallen to 5,48% (5,83% in December 2007).

With reference again to May, the securities portfolio had increased on aggregate by 22% on an annual basis, with a marked reduction within it in investments with shorter maturities (BOT and CTZ, -36,9%) compared to an increase in medium-to-long-term investments (CCT and BTP, +10,5%), and above all in “other certificates” (+49,9%) and bank bonds in particular. The ratio of securities to lending in euro therefore increased to 15,9% from 13% at the end of 2007.

Finally with regard to the main bank interest rates, the average rate for bank funding from customers (which includes the yield on deposits, bonds and repurchase agreements for private individuals and non financial companies) rose in June, in line with market trends, to 3,20%, compared to 2,93% at the end of 2007. After reaching a low in February and March (6,15%), the average weighted interest rate on lending to households and non financial companies then increased in line with conditions on the interbank market to reach 6,30% in June up from 6,18% in December.

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Strategic lines of development

Steps to implement the 2007-2010 Integration Business Plan

The Business Plan consists of 47 currently active “business projects”1, i.e. projects with a significant impact on the achievement of the objectives contained in the plan itself. A level of priority (23 is maximum priority, 15 high priority and 9 is normal priority), a project manager and a work plan for implementation activities have been defined for each of them, along with periodical monitoring processes (monthly for maximum priority projects and quarterly for all the others).

As at 30th June 2008, 65% of the plan activities had been completed ahead of schedule with respect to targets (58%); it is expected that more than 80% will be completed by the end of the year.

The main results achieved at the date of this report are summarised as follows: y IT MIGRATION: IT migrations took place in recent months firstly with BPCI (weekend from 22nd to 24th February), then with BPA (weekend from 25th to 27th April) and finally with Carime (weekend from 4th to 6th July). The operations were achieved with high download/upload data quality and immediate and excellent access to the system, guaranteed by massive connection tests performed on the weekends prior to the migrations. Preparatory work was also commenced for the migration of BPB (including the first simulation cycle), with the transition proceeding on schedule as forecast in the Business Plan (weekend from 3rd to 5th October 2008); y WEALTH MANAGEMENT: the main objectives were achieved three months ahead of initial forecasts during the first half: - the integration of UBI Pramerica SGR and Capitalgest SGR (effective from 18th January 2008), the contribution to UBI Pramerica SGR of the stake held by the Parent Bank in Capitalgest Alternative Investments SGR and also the sale to Prudential of approximately 12% of the asset management company to restore its shareholding to 35%; - the merger of the funds (performed on 11th April 2008) which allowed the target range of products to be achieved (36 funds compared to 66 in the original range); y LEASING: the integration of BPU Esaleasing and SBS leasing was completed when the merger deed was signed (30th June) and UBI leasing was then formed on 5th July (legal effectiveness of the transaction). The IT migration onto the target platform was performed between 4th and 6th July and all the Group network banks operate with UBI leasing using a single instrument (“leasing on line”) and standardised commercial and credit processes since 9th July; y INSURANCE SECTOR: a number of operations were performed in the first half to improve and streamline the presence of the Group in this sector: - the sale of 50% plus one share of UBI Assicurazioni Vita to the Aviva Group (completed on 18th June) which saw the British Group become a shareholder of the company and active in its management; - a contract was signed to sell operations consisting of multi-company agent business with 50 agencies to Tua Assicurazione (controlled by Cattolica Assicurazioni) and an application for authorisation was sent to ISVAP (insurance authority) (completion is scheduled for the first quarter of 2009);

1 Four projects were concluded in the second quarter of the year, compared to the 51 projects existing as at 31st March 2008.

16 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - the reorganisation of the ownership structure in the sector with the approval of the merger of UBI Partecipazioni Assicurative into UBI Assicurazioni and the purchase by the Parent Bank of a minority interest in UBI Assicurazioni Vita (completion of both operations is scheduled for the fourth quarter of 2008); y CORPORATE BANKING: a customer sub-segment (Large, Mid and Low) based service model was defined in the first half; foreign centres were set up at BPCI, BPA and Carime in parallel with the IT migrations; rules of engagement were finalised and commercial agreements were signed between the corporate product companies (Centrobanca, CBI Factor and UBI leasing) and the Group’s network banks; y STREAMLINING OF SERVICE ACTIVITIES: UBI Sistemi e Servizi was transformed into a consortium company on 1st July. With the direct involvement of users in the management of centralised services, this change is designed to ensure a greater focus on efficiency and on the control of the cost of services in parallel with greater transparency over the price structure of the services provided (fully charged on a full cost basis); y RISK CAPITAL & POLICIES: the following risk management policies have been approved or updated as part of this project: - “private equity investment policy”: this furnishes Group guidelines, objectives and operational limits in the private equity sector, with regulations for new investments and the management of the Group’s existing portfolios; - “policy on the portability, the renegotiation, the substitution and early repayment of mortgage loans”: this furnishes guidelines for the aforementioned operations in compliance with the new legislative and regulatory framework and with a view to minimising times required, conditions and related costs and also to equipping the Group with appropriate processes and instruments to manage the relative risks (credit, operational and reputation); - “policy for Centrobanca structured finance business”: specific limits and constraints, especially with regard to rating classes and maturity, with two types of limit: a limit on maximum exposure, in terms of total portfolio and rating class, and a limit on concentration for each single group of companies, based on rating classes; y CENTROBANCA: activities for the management of corporate and retail derivatives business for the whole Group was centralised in Centrobanca in March. The project to optimise commercial interaction between Centrobanca and the network banks is currently at the completion stage; y MiFID: advisory services for OTC derivatives and financial instruments other than OTC derivatives were put in place for the customers of network banks served by the IT target platform for the banking sector. An initial improvement to the methods of delivering those services was performed last June with the release of a software upgrade. Organisational models were also defined in the second quarter for the management of suspect transactions (transactions performed with the use of privileged information or to manipulate markets) and personal transactions (transactions performed by “significant” persons, consisting of Group employees and members of its governing bodies). A market transparency service was also put in place (disclosure of trading volumes, prices and the timing of transactions performed) for the own securities portfolio of the network banks and the Parent Bank, along with transaction reporting (communication to the Supervisory Authority of transactions concluded with financial instruments admitted for trading on regulated markets) for intermediation on behalf of others and trading on own behalf (both for the network banks and for the Parent Bank). Models and/or policies to classify customers and best execution, along with the conversion of the current alternative trading system to systematic internalisers had already been produced in the first quarter; y LOGISTICS: the replacement of signs (rebranding) in all the branches of Group has been virtually completed. The preparation of premises and equipment for completion of the logistics reallocation of human resources to the various operating headquarters of the Parent Bank and UBI.S has also been completed;

17 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f y CENTRALISATION/DECENTRALISATION: action taken to implement the target organisational and operational model throughout the Group led to the centralisation in the Parent Bank of Internal Auditing for BRE, BBS, UBI Pramerica and CentroSystem and of the management of the “Anti-money laundering and investigating authority investigations service” in the former BPU network banks which had migrated onto the IT target platform (already centralised in the former BL banks). Further centralisations performed in the second quarter involved the BPA and Carime archives, the Banca di Valle Camonica (BVC) treasury, BVC and BRE medium term business and foreign securities back office activities. Italian securities back office activities had already been centralised in a single unit (Milan), along with loans and documents back office activities (Cosenza) and the management of non performing and impaired positions (Brescia). Finally the decentralisation of Network Legal Advice to the network banks of the former BPU Group was completed (a service already decentralised in the former BL banks). y TRUST COMPANIES: resolutions were passed on 15th April 2008 by the respective Boards of Directors to merge Plurifid Spa into Solofid Società Lombarda Fiduciaria Spa, which was then approved by extraordinary shareholders’ meetings of the two companies on the following 22nd May. The conclusion of the operation, which will lead to the creation of UBI Fiduciaria Spa, is scheduled for next September, once the trade union negotiations started on 28th July 2008 are completed along with activities to integrate IT systems.

* * *

In line with the guidelines for INTERNATIONAL STRATEGY drawn up for the 2007-2010 Business Plan, the UBI Banca Group undertook a series of initiatives in the first half to reorganise and consolidate operations – some of which not completed until the beginning of July – designed to optimise its presence abroad with the intention of improving assistance to customers with their international business. In detail: - the operation was concluded in April for the transfer of full ownership of the company Gestioni Lombarda Suisse from UBI Banca International (Luxembourg) to Banque de Dépôts et de Gestion Sa; - on 2nd June UBI Banca In - ternational (Luxembourg) opened a new branch in Madrid to which all the business of the Group’s Spanish factoring company, Financiera Veneta, was transferred when it was put into liquidation; - Banca Popolare di Bergamo contributed its Munich branch to UBI Banca International (Luxembourg) with effect from 1st July; - again on 1st July, the Group’s representative office in London was closed; - after an operating licence was issued by the Russian Central Bank on 6th June, the UBI Group officially opened its new representative office in Moscow on 2nd July, which completed its presence in the four major emerging economies (Brazil, Russia, India and China).

Integration costs and synergies

The synergies programmed under the 2008 Business Plan amount to 100,4 million euro (compared to 431 million2 forecast on completion in 2010), of which 49,7 million relate to the first half of 2008. With respect to that objective, synergies of 53,5 million (+8% compared to the target) were achieved in the first six months of 2008, composed as follows:

2 Inclusive of the personnel cost synergy components of the relative “stand-alone” Business Plans of the two former BPU and BL Groups amounting to: 19,7 million in 2008, 24,8 million in 2009 and 29,3 million in 2010.

18 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f cost synergies achieved: 41,2 million3 (+15% compared to a target of 35,7 million) as a consequence of: - the positive performance of personnel cost synergies (+15,4 million euro) as a result of the early implementation at the end of 2007 and in the first half of 2008 of the redundancies planned for the whole of 2008; - lower synergies on administrative expenses (-9,9 million compared to the Business Plan target). More specifically synergies were lower than forecast on IT systems, in the human resources and organisation area (mainly because of higher expenses for mobility) and for network banks, and these were only partially offset by greater synergies for logistics and product companies; revenue synergies achieved: 12,3 million (-12% compared to the target of 14 million), the result of the positive performance of synergies on existing products (e.g. mortgages, personal loans and credit protection insurance for private individual customers) and of some delays in completing the extension of the product range in a less favourable market context (e.g. credit cards and salary backed loans on the former BL network, OTC derivatives for private individuals and small businesses on the former BPU network).

The following is estimated for the full year 2008: personnel cost synergies: the overall trend for human resources has continued in terms of numerical targets in line with Business Plan forecasts for the end of 2008, accompanied by better average results than predicted, which will therefore produce greater synergies than the targets contained in the Business Plan; administrative expense synergies: with account taken of the trend for the first half, slightly lower results than those predicted in the Business Plan should be achieved; revenue synergies: the results that emerged during the first half continued with overall performance slightly lower than budgeted in the Business Plan and with a different mix to that originally programmed, consistent with market developments (greater synergies on mortgages, personal loans, credit protection instruments for private individuals, bundled current accounts for small businesses and structured products; lower synergies on retail and corporate OTC derivatives, salary backed loans and asset management products).

The overall performance of the factors described above should lead to the general achievement of the synergies forecast in the Business Plan for the current year (100,4 million euro), even if, as reported, the composition will be different.

Integration costs of 40,7 million were recognised in the first half (18,5 million in relation to personnel costs, 21,2 million to other administrative expenses and 1,0 million to depreciation and amortisation).

If the 253,5 million incurred in 2007 is also considered, cumulative integration costs to 30th June 2008 amount to 294,2 million (approximately 80% of the total forecast which was 370 million).

Ordinary periodical update of the Business Plan

The UBI Banca Group has programmed the ordinary periodical update of the 2007-2010 Business Plan for next December, following the expected completion of the IT migrations and of more than 80% of the Integration Business Plan activities. The update will take account of both the new up-to-date macroeconomic projections and of the changed market and regulatory conditions, which are less favourable for growth in revenues and for improvements in performance indicators, and also of the trends in balance sheet and operating items which have occurred during the past quarters of the year in progress. It will cover the period 2009- 2011. Expectations for the end of the 2008 confirm the sustainability of the results for recurring operations forecast in the 2007-2010 Business Plan for the year in progress.

3 The cost synergies consist of 20,5 million from personnel and of 20,7 million from other administrative expenses.

19 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The distribution network and positioning

The branch network and the distribution channels

As at 30th June 2008 the Unione di Banche Italiane Group had 1.938 branches, which had risen to 1.940 at the date of publishing this half year financial report.

The Branch network of the UBI Banca Group in Italy and abroad

30.6.2008 31.12.2007 Change Number of branches

UBI Banca Scpa 33 - Banca Popolare di Bergamo Spa* 358 357 1 Banco di Brescia Spa** 351 348 3 Banca Popolare Commercio e Industria Spa 213 208 5 Banca Regionale Europea Spa*** 292 291 1 Banca Popolare di Ancona Spa 258 259 -1 Banca Carime Spa 315 311 4 Banca di Valle Camonica Spa 58 58 - Banco di San Giorgio Spa 36 35 1 UBI Banca Private Investment Spa 39 32 7 B@nca 24-7 Spa 11 - IW Bank Spa 22 - Banque de Dépôts et de Gestion Sa - Switzerland 44 - Centrobanca Spa 77 - UBI Banca International Luxembourg Sa 1- 1 TOTAL 1.938 1.916 22

* The figure includes the foreign Munich branch (Germany) which was contributed to UBI International Luxembourg on 1st July 2008. ** The figure includes one foreign branch. *** The figure includes two foreign branches.

Financial advisors 957 954 3 ATMs 2.357 2.205 152 POS terminals *** 60.782 60.656 126

*** The figure for 31st December 2007 includes the POS terminals for the 61 branches sold to Banca Popolare di Vicenza.

The main changes that occurred in Italy in the first half and until the date of publishing this report are as follows:

BANCA POPOLARE DI BERGAMO opened a new branch in Turin in June, in Corso Trapani 98; BANCO DI BRESCIA started up a new branch at Castegnato (Brescia) in February, while two new branches started operating in June in the province of Treviso at Oderzo and Resana. BANCA POPOLARE COMMERCIO E INDUSTRIA opened a total of seven new branches: in January at Segrate (Milan), Formigine (Modena) and Correggio (Reggio Emilia); in March at Limbiate (Milan) and San Giovanni in Persiceto (Bologna); lastly in Rome in July and August in the Ostia district and in Via dei Castani respectively. BANCA REGIONALE EUROPEA gained a presence in Milan at the beginning of April with a branch in Via G.B. Grassi 74, at the Luigi Sacco hospital. BANCA POPOLARE DI ANCONA closed a branch in April at Castel Romano (Rome). BANCA CARIME opened four new branches: in February at Battipaglia (Salerno) and at Maglie (Lecce); in March at Pontecagnano Faiano (Salerno) and in April at Casarano (Lecce). BANCO DI SAN GIORGIO opened a new branch in June in Genoa , in Via Marina di Robilant 5.

20 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f UBI BANCA PRIVATE INVESTMENT started up seven new branches: in Varese, in Macerata, in Naples in Via Taddeo da Sessa-Torre Saverio and in Castellammare di Stabia (Naples) in January; in Genoa, in Via XX September 33, in February; in Pomigliano d’Arco (Naples) and in Caserta in June.

The territory is covered by 957 financial Private banking and corporate units advisors who report to the Financial Advisors Area of UBI Banca Private Investment. These 30.6.2008 are composed of: 419 who belong to the “integrated” network Private Banking Units 120 division characterised by a business model Private Banking Units (PBU) 59 which has strong synergies with the network Banca Popolare di Bergamo 13 Banco di Brescia 9 banks of the former BPU Group from which Banca Popol are Commercio e I ndust ria 13 70% of these financial advisors operate; Banca Regi onale Europea 8 538 who report to the “open market” network Banca Cari me 4 division characterised by an operating model Banca Popolare di Ancona 5 which is strongly focused on multi-brand Banca di Val le Camoni ca 1 products and non-captive customers. Banco di San Giorgio 1 UBI Banca Private Investment 5 The distribution network in Italy also has 120 Private corners 61 units dedicated to private banking customers Banca Popolare di Bergamo 17 Banco di Brescia 6 and 124 units destined to the Group’s corporate Banca Popol are Commercio e I ndust ria 14 customers. The figures are unchanged with Banca Regi onale Europea 3 respect to the end of 2007, with details given in Banca Cari me 9 the table. Banca Popolare di Ancona 12 In parallel with action taken to strengthen the Corporate Banking Units 124 distribution network in Italy, as already Corporate banking Units (CBU) 70 Banca Popolare di Bergamo 16 reported in the previous section “Strategic lines Banco di Brescia 18 of development”, the UBI Banca Group has also Banca Popol are Commercio e I ndust ria 12 reorganised its international presence which at Banca Regi onale Europea 9 the date of this report includes the following: Banca Cari me 5 y two foreign banks, Banque de Dépôts et de Banca Popolare di Ancona 6 Gestion Sa (with four branches in Banca di Val le Camoni ca 1 Switzerland) and UBI Banca International Sa Banco di San Giorgio 3 (with headquarters in Luxembourg and Corporate corners 54 branches in Munich and Madrid1); Banca Popolare di Bergamo 6 Banco di Brescia 13 y foreign branches in France (at Nice and Banca Popol are Commercio e I ndust ria 10 Menton – Banca Regionale Europea) and in Banca Regi onale Europea 9 Luxembourg (Banco di Brescia); Banca Cari me 2 y Representative offices in San Paolo of Brazil, Banca Popolare di Ancona 10 Hong Kong, Mumbai, Shanghai, Moscow2 Banca di Val le Camoni ca 2 Banco di San Giorgio 2 and Singapore; y equity investments (mainly controlling interests) in five foreign companies (Corporation Financière Européenne Sa, Gestioni Lombarda (Switzerland) Sa, Lombarda China Fund Management Co., UBI Management Co. Sa, UBI Trust Company Ltd.); y 31 commercial co-operation agreements with foreign banks (covering 33 countries) and a “product partnership” with Standard Chartered Bank to guarantee effective assistance on all the principal international markets for corporate customers.

1 The Madrid branch, set up in the first quarter of 2008 and operational since 2nd June, has taken over the former business of Financiera Veneta E.F.C. Sa which is currently in liquidation. 2 The representative office in Moscow became operational at the beginning of July.

21 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Remote channels

The Group’s market presence is reinforced by functions provided for network bank customers by remote channels (Internet, Contact Center, ATM and POS terminals).

With regard to the channels available to private individual customers, in the first six months of 2008, the users of the service QUI UBI Internet Banking increased by 6,7%, to reach 448.635 at the end of June, up from 420.500 in December 2007. The number of Contact Center users – for which the process of centralisation in one single centre was completed – also increased by 4,9% to exceed 510 thousand from more than 486.600 at the end of 20073. In parallel to this, in terms of customer use, there was an increase of almost 30% compared to the first six months of 2007 in the number of payments and telephone recharge transactions made on those channels. As part of its Contact Center activities, the UBI Group started a “Consultation Project” over the summer months designed to measure customer satisfaction by means of a telephone survey where the objective is to constantly improve the services and products delivered to customers.

Finally the Group can count on more than 2.300 ATM terminals – an increase in the first half as a result of the installation of new machines able to receive payments of cash and cheques – and more than 60.700 POS terminals installed in retail outlets.

Credit and debit cards

The UBI Group offers its customers a full range of payment instruments consisting of debit cards, credit cards and prepaid cards.

The total number of active credit cards issued at the end of June numbered approximately one million. More specifically, the issue of the Libra line of cards consisting of a full range of products (flexible, revolving, multi-function and corporate cards) has been extended, through B@nca 24-7, to cover all the network banks since April.

As concerns prepaid cards, distribution of a new product SEMPRE was started in June (in adult rechargeable, youth rechargeable and non rechargeable versions) issued directly by the network banks with the objective of replacing the types previously distributed by the two original Groups.

The stock of debit cards (Bancomat, Pagobancomat, Cirrus and Maestro) numbered 1.650.000 and is now added to mainly by cards issued in combination with “bundled” current accounts. Finally activity continued in the first half with the micro chip certification of debit products required for the SEPA project in order to meet regulatory deadlines for the migration of debit cards to chips, by and not later than 2010.

3 In the first six months of 2008, the Contact Center received more than 500.000 incoming calls from customers - approximately 55% handled by the automatic telephone service and 45% by human operators – in addition to approximately 50.000 emails sent/received. During the same period the Contact Center also performed commercial activity involving approximately 90 thousand calls to customers of which around 50% resulted in the acquisition of useful contacts.

22 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The positioning of the Group UBI Banca Group: market share (*)

December 2007 Branche s Funding (**) The table summarises the market positioning of Lending (***) the UBI Group in terms of branches, traditional (***) funding (excluding bonds) and lending on the Lombardy (****) 14,6% 12,1% 11,1% basis of the latest available information from the Prov. of Bergamo (****) 23,9% 35,5% 40,2% Bank of Italy both with respect to the national Prov. of Brescia (****) 27,4% 34,2% 34,2% Prov. of Como 6,7% 6,6% 9,0% market and for the main areas in which the Prov. of Lecco 5,4% 5,8% 7,6% banks in the Group operate. Prov. of Mantua 6,7% 4,4% 5,2% Prov. of Milan 9,5% 6,6% 5,6% It can be seen that the market share of the Prov. of Pavia 16,9% 17,7% 15,4% Group at national level is close to 6%; in the Prov. of Varese 27,6% 34,5% 24,3% case of funding, if funding from bonds is also Piedmont 8,3% 5,8% 6,9% considered, then market share is 6,18%. Prov. of Alessandria 11,0% 8,8% 10,9% Prov. of Cuneo 25,0% 24,1% 19,7% The figures shown do not yet take account of Prov. of Novara 5,2% 3,9% 9,2% the effects of the sale 61 branches to Banca Marches 9,3% 11,6% 10,2% Prov. of Ancona 11,6% 16,7% 13,1% Popolare di Vicenza concluded at the end of Prov. of Macerata 10,1% 14,9% 10,8% 2007. These have no effect on market share Latium 4,3% 3,3% 2,3% based on capital aggregates at national level and Prov. of Viterbo 16,1% 13,5% 12,0% only a marginal effect at regional level (0,2% for Prov. of Rome 3,9% 3,3% 2,2% funding and 0,1% for lending in Lombardy). Campania 5,9% 4,5% 4,2% Calabria 23,2% 22,1% 12,9% In terms of branches, the UBI Banca Group can Prov. of Catanzaro 14,3% 18,4% 10,5% count on a market share of more than 10% in Prov. of Cosenza 27,7% 28,8% 16,4% 17 Italian provinces and also on an important Prov. of Crotone 18,4% 12,6% 7,1% presence in some major Italian provinces Prov. of Reggio Calabria 23,1% 17,1% 9,9% (approximately 10% in Milan and approximately Prov. of Vibo Valentia 28,6% 29,0% 17,5% 4% in Rome). Basilicata 17,0% 11,5% 8,7% Prov. of Matera 18,4% 8,6% 7,1% 16,3% 13,6% 9,8% If the branches disposed of are excluded, then Prov. of Potenza the share of branches shown in the table Puglia 8,2% 6,6% 4,7% Prov. of Brindisi 12,1% 9,4% 5,4% changes as follows: 5,7% nationally and 13,6% in Lombardy. Total Italy (****) 5,9% 5,7% 5,8%

(*) The financial data is taken from Bank of Italy statistics. As a result of the characteristics of the two (**) Current accounts, certificates of deposit, savings deposits. original groups, in some areas where the (***) Market share by location of the branch. Group’s presence is stronger, it has a market (****) The branches involved in the sale to Banca Popolare di Vicenza in compliance with Antitrust requirements have not yet been subtracted from share of traditional funding and/or lending that the market share calculations.. is greater than the percentage of branches.

23 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Human resources

The personnel of the UBI Banca Group

employees employees actually in actually in 30.6.2008 30.6.2007 Changes 31.12.2007 service as at service as at 30.6.2008 (*) 31.12.2007 AB C D E Banca Popolare di Bergamo Spa 3.601 3.743 -142 3.682 3.512 3.579 Banco di Brescia Spa 2.743 2.778 -35 2.726 2.695 2.684 Banca Carime Spa (*) 2.533 2.626 -93 2.587 2.284 2.299 UBI Banca Scpa 2.258 2.417 -159 2.290 1.476 1.455 Banca Regionale Europea Spa (*) 2.108 2.156 -48 2.110 2.059 2.100 Banca Popolare Commercio e Industria Spa (*) 2.095 2.050 45 2.034 2.091 1.995 Banca Popolare di Ancona Spa (*) 1.865 1.901 -36 1.876 1.697 1.695 Banca di Valle Camonica Spa 348 365 -17 357 343 348 Centrobanca Spa 324 313 11 310 353 318 Banco di San Giorgio Spa 262 258 4 254 264 254 IW Bank Spa 219 176 43 191 215 190 UBI Banca Private Investment Spa 161 171 -10 165 160 171 B@nca 24-7 Spa 140 124 16 129 187 108 Banque de Dépôts et de Gestion Sa 106 107 -1 105 106 105 UBI Banca International Sa 75 75 - 69 76 70 TOTAL FOR BANKS (*) 18.838 19.260 -422 18.885 17.518 17.371 UBI Sistemi e Servizi consortium stock company 601 602 -1 604 1.912 2.010 UBI Assicurazioni Spa 164 174 -10 171 152 170 SBS Leasing Spa 164 174 -10 171 163 169 CBI Factor Spa 144 148 -4 143 146 143 BPU Esaleasing Spa 111 105 6 102 124 115 UBI Pramerica SGR Spa 87 95 -8 90 99 67 UBI CentroSystem Spa 74 77 -3 77 69 71 Mercato Impresa Spa 63 65 -2 56 63 57 UBI Partecipazioni Assicurative Spa 62 87 -25 85 60 85 BPB Immobiliare Srl 51 53 -2 8 57 14 Silf Spa 39 50 -11 46 28 118 UBI Insurance Broker Srl 38 35 3 35 41 38 Capitalgest SGR Spa 34 43 -9 38 2 49 FinanzAttiva Servizi Spa 22 19 3 19 21 18 Solofid Spa 12 13 -1 12 13 13 Gestioni Lombarda (Switzerland) Sa 11 11 - 11 12 12 InvestNet Italia Spa 8 8 - 8 8 8 Plurifid Spa 7 7 - 7 7 7 UBI Pramerica Alternative Investments SGR Spa 5 - 5 1 4 1 Sifru Gestioni Fiduciarie Sim Spa 4 4 - 4 7 6 Lombarda Management Company Sa 2 2 - 2 2 2 Capitalgest Alternative Investments SGR Spa 1 1 - 1 9 7 Centrobanca Sviluppo Impresa SGR Spa 1 2 -1 1 5 5 Mercati Finanziari Sim Spa - 7 -7 5 - 3 Coralis Rent Srl - - - - 6 5 Coralis Travel Srl - - - 1 - S.B.I.M. Spa - - - - 1 1 TOTAL EMPLOYEES (*) 20.543 21.042 -499 20.582 of which - permanent 19.713 20.337 -624 20.121 - temporary contracts (*) 830 705 125 461 (*) 1.007 433 574 437 TOTAL PERSONNEL (*) 21.550 21.475 75 21.019 On secondment outside the Group - out 14 37 -23 18 - in 1 1 - 1 TOTAL WORKFORCE (*) 21.537 21.439 98 21.002

TOTAL ACTUAL EMPLOYEES (*) 20.530 20.565 On secondment outside the Group (balance) 13 17 TOTAL EMPLOYEES (*) 20.543 20.582

(*) The figures as at 30th June 2008 include a total of 525 temporary staff recruited in some companies for “peak” activity connected with summer absences and with temporary requirements for the IT migration (see details below).

The table above gives details for each company of the employees of the Group as at 30th June 2008 (column A) compared with the situation at the end of June 2007 (column B) and with that at the end of 2007 (column C), both reconstructed on a uniform basis with respect to 30th June 2008. In order to show the actual distribution of employees within the Group, the figures for employees as they are actually employed (excluding agency staff) are also given, adjusted to take account of secondments from one entity of the Group to another or outside the Group itself both for 30th June 2008 (column D) and the end of December 2007 (column E).

24 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The notes that follow give details of the changes in human resources at the end of the first half of 2008 (column A of the table) compared to the situations as at 30th June 2007 (column B) and 31st December 2007 (column C), both reconstructed on a uniform basis with respect to June 2008.

At the end of the first half the human resources of the UBI Banca Group totalled 21.550, an increase of 75 compared to 21.475 in June 20071.

It must nevertheless be considered that at the end of the first half the labour force included 525 temporary staff for periods of peak activity compared to 109 at the end of June 2007. As at 30th June 2008 those staff consisted of 43 “seasonal workers” at BPB Immobiliare (45 in June 2007), 104 staff in some of the network banks for summer replacements (64 in June 2007) together with 378 staff employed on the basis of the Trade Union Agreement of 14th August 2007, to furnish support for IT migration requirements as detailed below.

Temporary staff for the IT migration programme

Employees on Temporary TOTAL temporary contracts agency staff Banca Carime Spa - 157 157 Banco di Brescia Spa - 84 84 Banca Popolare Commercio e Industria Spa 40 27 67 Banca Regionale Europea Spa 51 - 51 Banca Popolare di Ancona Spa - 19 19 TOTAL 91 287 378

If those staff temporary staff employed for periods of peak activity were not considered, the work force of the Group would have decreased by 341units on an annual basis.

In detail there was a reduction of 624 staff on permanent contracts over the twelve month period balanced by an increase in both temporary agency staff (+247, net of staff employed for periods of peak activity just mentioned, which numbered 327) and workers on temporary contracts (+36, net of the peak activity staff mentioned).

Numbers of staff on normal employee labour contracts fell on aggregate by 499 That decrease was the result of 1.543 staff leaving, including 297 on early retirement schemes and 439 from use of the ‘solidarity fund’, against 1.044 new appointments, including 316 on permanent

1 The situation as at 30th June 2007 was reconstructed as follows: - the Personnel of Banca Popolare di Bergamo were stated net of the 46 staff who at that date were working in the branches disposed of at the end of 2007 for Antitrust Authority compliance and of the 45 staff who as at 30th June 2007 were working in the branches involved in the Intragroup branch switching operations at the beginning of December 2007; - the personnel of Banco di Brescia are stated net of the 91 staff who at that date were working in the branches disposed of at the end of 2007 for Antitrust Authority compliance; - the figure for the personnel of the Banca Carime was adjusted for the staff who on that date were working in the branches involved in intragroup branch switching which took effect on 1st July 2007 (+14 “staff in” (+14 “staff out”); - the personnel of Banca Popolare Commercio e Industria were stated net of the 82 staff who on that date were working in the branches disposed of at the end of 2007 for Antitrust Authority compliance and of the 46 staff who as at 30th June 2007 were working in the branches involved in the intragroup branch switching operations that took effect on 1st July 2007; The figure was increased by the 45 staff who on 30th June 2007 were working in the branches involved in the intragroup branch switching operations that took effect on 1st December 2007; - the figure for the personnel of the Banca Popolare di Ancona was adjusted for the staff who on that date were working in the branches involved in intragroup branch switching operations which took effect on 1st July 2007 (+53 “staff in” –14 “staff out”); - the personnel of IW Bank were increased by the 21 staff who were still working on that date at Investnet Italia; - the personnel of UBI Banca Private Investment Spa includes the staff of UBI Sim Spa, merged with effect from 1st January 2008 (39 at the end of June 2007); - the personnel of B@nca 24-7 includes the 71 staff of Silf Spa who were working in the part of the company disposed of with effect from 1st January 2008; - the personnel of UBI Banca International includes the 18 staff who were working at the end of June 2007 at BPU Banca International, merged with effect from 1st October 2007 and the 7 staff who on that same date were working at Financiera Veneta Sa, now in liquidation - the personnel of UBI Pramerica SGR Spa includes the 24 staff of Capitalgest SGR Spa employed with effect from 1st January 2008; - the personnel of Capitalgest SGR Spa is stated net of the 24 staff employed by UBI Pramerica SGR Spa (see above).

Finally the figures for the employees of some companies as at 30th June 2007 have been subject to some reclassifications with respect to the data already published: UBI Banca (-1), Centrobanca (+1), Banca Carime (+1), UBI Banca International (+2), UBI Pramerica SGR (-1). The number of employees actually in service at UBI Insurance Broker as at 31st December 2007 includes two employees of Banca Regionale Europea who on that date were on secondment at Andros Broker, merged with effect from 1st January 2008 into UBI Insurance Broker.

25 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f contracts and 728 on temporary contracts (including 89 employed for “peak activity”). Intragroup transfers affected a total of 145 staff.

The synergies already scheduled under the Integration Business Plan mainly affected the Parent Bank (-159 staff) and the network banks (-322 staff, or -413 net of temporary staff recruited to support the ICT migration), although UBI Banca Private Investment (-10) was also affected. The growth in numbers at Centrobanca (+11), IW Bank (+43) and B@nca 24-7 (+16) was in line with Business Plan forecasts.

Staff numbers for the non banking Group member companies fell on aggregate by 77 to which the decrease of 25 staff at UBI Partecipazioni Assicurative and of 10 staff at UBI Assicurazioni contributed in particular, both attributable to the relinquishment of control over UBI Assicurazioni Vita.

* * *

The workforce of the Group increased by six compared to the situation at the end of 2007, net of the 525 staff recruited for periods of peak activity.

* * *

The average age of Group employees as at 30th June 2008 was 42 years and 2 months, while the average length of service was 15 years and 6 months, virtually unchanged compared to 30th June 2007 as a result of the generation turnover in progress. The percentage of employees on part time contracts had increased to 6,7%, from 6,5% twelve months previously. Female personnel accounted for 35,3% of the total, compared to 34,3% in June 2007.

Finally as concerns staff by rank, it can be seen from the table, which gives the composition of the employees of the banks in the Group by rank, that there have been no significant changes.

Composition of staff in Group Banks by rank

30.6.2008 % 30.6.2007 % 31.12.2007 %

Senior managers 463 2,5% 502 2,6% 459 2,4% Middle managers 3rd and 4th level 3.256 17,3% 3.302 17,1% 3.262 17,3% Middle managers 1st and 2nd level 3.756 19,9% 3.791 19,7% 3.774 20,0% 3rd and 4th Professional Area (office staff) 10.992 58,3% 11.262 58,5% 11.027 58,4% 1st and 2nd Professional Area (other personnel) 371 2,0% 403 2,1% 363 1,9% TOTAL FOR BANKS 18.838 100,0% 19.260 100,0% 18.885 100,0%

Developments in redundancy plans and the employment programme

As concerns the redundancy plan, implemented by UBI Banca on the basis of the trade union agreement of 14th August 2007, this resulted in 462 staff leaving in the first six months of the year which, added to the 116 staff that had already left to 31st December 2007, brought the total number of staff leaving to 30th June 2008 to 578. The redundancy plan will also continue in the remaining part of the year with 66 staff expected to leave in the third quarter and 82 staff in the fourth quarter.

A total of 186 temporary contracts were converted to permanent contracts in the first half of 2008 out of a total of 425 planned by the end of the second half of 2009 under the trade union agreement already mentioned, subject to reaching set dimension objectives.

26 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Trade union relations

From a trade union and labour contract viewpoint, significant events occurred in the first half of 2008 related mainly to the completion of trade union procedures concerning IT migrations onto the Group target platform, to the definition of company bonuses for 2007 at the former BPU banks and companies and to the start of official negotiations with the trade union organisations of the former BL Banks over salary structures (negotiations were commenced with Banco di Brescia – an agreement was reached with trade union organisations on 28th July 2008 – with Banca Regionale Europea and Banco di San Giorgio, for which discussions are still in progress).

In detail, a memorandum of intent was signed with Group trade union representatives on 30th January 2008 which, from a remuneration and regulatory viewpoint, disciplines the plans to centralise operations for the migration onto the target IT platform by Banca Popolare Commercio e Industria (last ten days of February), Banca Popolare di Ancona (last ten days of April), Banca Carime (first ten days of July), Banca Popolare di Bergamo (last ten days of October) and the completion of the migration onto UBI/UBI.S (by the end of November 2008).

An agreement was also reached in February with the company trade union organisations of UBI Banca Scpa and Banca Popolare di Bergamo Spa to discipline, from a remuneration viewpoint, the repercussions of the amendments to articles 52 and 31 of the respective corporate by-laws of the two banks approved by shareholders’ meetings of those banks which change the criteria for the recognition of company costs incurred for staff pensions and social security (pensions, health and insurance).

On 15th January 2008 labour contract negotiations were commenced with Group trade union representatives for the implementation of the service model adopted by the UBI Group for commercial units abroad, which was positively concluded with the signing of a trade union memorandum of intent on 18th March 2008.

Trade union negotiations were commenced in February, March and April concerning the definition of company bonuses for 2007 at UBI Banca, Banca Popolare di Bergamo, Banca Popolare di Ancona, Banca Carime, Banca Popolare Commercio e Industria, Mercato e Impresa, B@nca 24-7 and UBI Centrosystem and special trade union agreements were signed in application of and in compliance with the provisions of the national labour contract in force.

Trade union negotiations were commenced in March, initiated by the relative trade union organisations of UBI Sistemi e Servizi, to request specific action from the company to support, from an organisational, regulatory and remuneration viewpoint, the particular commitment required of personnel working in that company for the whole of the period of the IT Migration Plan already mentioned. These negotiations led to the signing of a specific trade union agreement in the following April.

Again in April the negotiations commenced on 29th January concerning the reorganisation of UBI Assicurazioni Spa were concluded (discontinuation of the tobacconist and broker channels, centralisation of the internal audit function in UBI Banca, discontinuation of services performed by UBI Partecipazione Assicurative on behalf of UBI Assicurazioni Vita), along with negotiations in accordance with trade union agreements planned for the merger of Mercati Finanziari Sim Spa into UBI Banca Scpa, commenced on 14th February 2008.

Group trade union negotiations were commenced in May concerning the merger of BPU Esaleasing Spa into SBS leasing Spa, now UBI leasing Spa, which were concluded on 3rd July 2008 with the signing of a trade union memorandum of intent.

Finally the labour contract negotiations over the merger of UBI Partecipazioni Assicurative Spa into UBI Assicurazioni Spa were commenced and concluded in July with a negotiated agreement and official negotiations were commenced concerning the merger of Plurifid Spa

27 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Società Fiduciaria into Solofid Spa Società Lombarda Fiduciaria for which discussions with trade unions are still in progress.

Training and internal communication

More than half of training for UBI Banca, UBI.S and the network banks planned for 2008 was performed in the first half of the year for a total of 70.542 person days (inclusive of days of training provided by the internal School for Instructors and training activities), which accounted for 3,5% of working days. The distribution of the activities is given in the table below.

IT platform migration 41.341 (58%) Specific subject areas 15.354 (22%) Insurance area 11.787 (17%) Internal instructors 2.060 (3%) TOTAL 70.542

The IT migration programme for the banks of the former BPU Group involved a series of activities – ordinary classroom teaching, on-the-job training, remote training, hands on training in branches accompanied by personnel communication and involvement – and was delivered to more than 9.000 individuals for more than 41.000 person days.

With regard to contents, the subject covered most was insurance for the implementation of ISVAP (Insurance Authority) regulations. Particular attention was paid in other areas to increasing knowledge of “Legislation” (anti-money laundering and MIFID) and to subjects concerning the Credit Area.

The School for Future Branch Managers started operating in the first half with the objective of investing in the training of candidates for this role with a dedicated training course of approximately six months in length provided in co-operation with “Il Sole 24 Ore Formazione”. Work to define the structure of the managerial training plan was also completed and interviewing commenced, managed by external experts.

The school for instructors continued in its role as a powerful instrument for cultural Group integration, with an intense calendar of activities and with the publication of the four monthly periodical “Noi Docenti UBI” (“We the UBI instructors”) to support colleagues in their teaching activities.

The first Group convention was held at the beginning of the year as part of the Internal Communication Plan with more than 3.000 participants attending. Speakers illustrated the programmes and strategies of the UBI Group and the commercial guidelines of the 2008 budget. The Charter of Values was also presented and then distributed to all personnel and sent to all registered shareholders.

28 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The consolidation scope

The companies that formed part of the consolidation as at 30th June 2008 are listed below, divided into subsidiaries (fully consolidated), companies subject to joint control (proportionately consolidated) and associates (consolidated using the equity method). The percentage of control or ownership attributable to the Group (direct or indirect), their headquarters (registered address or operating headquarters) and the share capital is also indicated for each of them.

Fully consolidated companies (control is by the Parent Bank of the Group where no other indication is given):

1. Unione di Banche Italiane Scpa – UBI Banca (Parent Bank) registered address: Bergamo, Piazza Vittorio Veneto, 8 – share capital: 1.597.864.755 euro 2. Banca Popolare di Bergamo Spa (100% controlled) registered address: Bergamo, Piazza Vittorio Veneto, 8 – share capital: 1.256.300.000 euro 3. Banco di Brescia San Paolo CAB Spa (100% controlled) registered address: Brescia, Corso Martiri delle Libertà, 13 – share capital: 593.300.000 euro 4. Banca Popolare Commercio e Industria Spa (83,3610% controlled) registered address: Milano, Via della Moscova, 33 – share capital: 682.500.000 euro 5. Banca Regionale Europea Spa (53,3311% controlled)1 registered address: Cuneo, Via Roma, 13 – share capital: 442.000.000 euro 6. Banca Popolare di Ancona Spa (99,2357% controlled) registered address: Jesi (Ancona), Via Don A. Battistoni, 4 – share capital: 122.343.580 euro 7. Banca Carime Spa (85,8286% controlled) registered address: Cosenza, Viale Crati snc – share capital: 1.468.208.505,92 euro 8. Banca di Valle Camonica Spa (74,2439% controlled and Banco di Brescia holds an 8,7156% interest) registered address: Breno (Brescia), Piazza Repubblica, 2 – share capital: 2.738.693 euro

9. Banco di San Giorgio Spa (34,7734% held and 56,3323% controlled by BRE) registered address: Genova, Via Ceccardi, 1 – share capital: 66.926.667 euro 10. Banque de Dépôts et de Gestion Sa (100% controlled) registered address: Avenue du Théâtre, 14 - Lausanne (Switzerland) – share capital: 10.000.000 Swiss francs 11. Gestioni Lombarda (Switzerland) Sa (100% controlled by Banque de Dépôts et de Gestion) registered address: Riva Caccia, 1 - (Switzerland) – share capital: 1.000.000 Swiss francs 12. BDG Singapore Pte Ltd (100% controlled by Banque de Dépôts et de Gestion) registered address: 391B Orchard Road # 15-01 Ngee Ann City Tower B Singapore – share capital: 25.000 Singapore dollars 13. UBI Banca International Sa (96,2635% controlled, Banco di Brescia holds 3,5008% and Banco di San Giorgio holds 0,2357%)2 registered address: 47, Boulevard du Prince Henry - Luxembourg – share capital: 43.267.380 euro 14. B@nca 24-7 Spa (100% controlled) operating headquarters: Bergamo, Via A. Moretti, 11 – share capital: 264.300.000 euro

1 The percentage indicated represents the control over the total share capital held. The Group does in fact possess 55,4779% of the ordinary shares, 26,4147% of the privileged shares and 59,1205% of the savings shares. The percentage considered for consolidation purposes nevertheless amounted to 59,9521% due to the existence of a put option granted to Cattolica Assicurazioni Spa on a total of 6,621% of the shares (7,656% of the ordinary shares), with settlement by 31st December 2008 and an exercise price of approximately 170 million euro. 2 Following the contribution of its Munich branch by Banca Popolare di Bergamo, settled by a share exchange, the shareholder structure has been as follows since 1st July 2008: UBI Banca 92,0265%, BPB 4,4014%, Banco di Brescia 3,3467% and Banco di San Giorgio 0,2254%.

29 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 15. IW Bank Spa (33,8318% held by Centrobanca and 17,3983% by the Parent Bank) registered address: Milano, Via Cavriana, 20 – share capital: 18.404.795 euro 16. InvestNet International Sa (100% controlled by IW Bank) registered address: 8, Boulevard Royal - Luxembourg – share capital: 5.478.465 euro3 17. InvestNet Italia Spa (100% controlled by InvestNet International) registered address: Milano, Via F. Conte Confalonieri, 29 – share capital: 212.000 euro 18. InvestNet Work Iberica Spa (100% controlled by InvestNet Italia) registered address: Milano, Via F. Conte Confalonieri, 29 – share capital: 1.000.000 euro 19. UBI Banca Private Investment Spa (100% controlled) registered address: Brescia, Via Cefalonia, 74 – share capital: 67.950.000 euro

20. UBI Management Company Sa4 (99% controlled by UBI Banca Private Investment and1% held by UBI Banca International) registered address: 291, Route d’Arlonu Prince Henry - Luxembourg – share capital: 125.000 euro 21. Centrobanca Spa (92,3515% controlled and 5,4712% held by BPA) registered address: Milano, Corso Europa, 16 – share capital: 369.600.000 euro 22. Centrobanca Sviluppo Impresa SGR Spa (100% controlled by Centrobanca) registered address: Milano, Corso Europa, 16 – share capital: 2.000.000 euro 23. FinanzAttiva Servizi Srl (100% controlled) operating headquarters: Milano, Piazzale f.lli Zavattari, 12 – share capital: 5.660.000 euro 24. UBI Pramerica SGR Spa (34,0795% held by the Parent Bank and 30,9205% by Capitalgest) operating headquarters: Milano, Piazzale f.lli Zavattari, 12 – share capital: 19.955.465 euro 25. UBI Pramerica Alternative Investments SGR Spa (controlled 92,75% by UBI Pramerica SGR) operating headquarters: Milano, Piazzale f.lli Zavattari, 12 – share capital: 5.000.000 euro

26. Capitalgest Alternative Investments SGR Spa (100% controlled by UBI Pramerica SGR) registered address: Brescia, Via Cefalonia, 74 – share capital: 1.500.000 euro 27. Capitalgest Spa (100% controlled) registered address: Brescia, Via Cefalonia, 74 – share capital: 15.244.038 euro 28. UBI Partecipazioni Assicurative Spa (85% controlled and 15% held by BPA) registered address: Milano, Piazzale f.lli Zavattari, 12 – share capital: 106.131.000 euro 29. UBI Assicurazioni Spa (100% controlled by UBI Partecipazioni Assicurative) registered address: Milano, Piazzale f.lli Zavattari, 12 – share capital: 32.812.000 euro 30. UBI Insurance Broker Srl (100% controlled) registered address: Bergamo, Via f.lli Calvi, 15 – share capital: 3.760.000 euro 31. BPU Esaleasing Spa5 61,7262% controlled and 38,2738% held by BPA) registered address: Bergamo, Via f.lli Calvi, 15 – share capital: 89.427.991 euro 32. SBS Leasing Spa5 (98% controlled) registered address: Brescia, Via Cefalonia, 74 – share capital: 99.000.000 euro 33. Silf Società Italiana Leasing e Finanziamenti Spa (100% controlled) registered address: Cuneo, Via Roma, 13 – share capital: 2.000.000 euro 34. Compagnia delle Banche Italiane per il Factoring Spa - CBI Factor (100% controlled) registered address: Milano, Via f.lli Gabba, 1/a – share capital: 36.115.820 euro 35. BPB Immobiliare Srl (100% controlled) registered address: Bergamo, Piazza Vittorio Veneto, 8 – share capital: 185.680.000 euro

3 The company increased its share capital on 9th April 2008 from 2.478.465 euro to 5.478.465 euro. The investment for the UBI Banca Group amounted to 3 million euro. 4 A shareholders’ meeting of 1st April 2008 changed the name from Lombarda Management Company to UBI Management Company with immediate effect. 5 On 5th July 2008 the merger of BPU Esaleasing into SBS leasing took effect with the latter taking the new name of UBI Leasing Spa.

30 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 36. Società Bresciana Immobiliare – Mobiliare S.B.I.M. Spa (100% controlled) registered address: Brescia, Via A. Moro, 13 – share capital: 35.000.000 euro 37. Società Lombarda Immobiliare Spa - SOLIMM6 (100% controlled) registered address: Brescia, Via Cefalonia, 74 – share capital: 2.580.000 euro 38. Financiera Veneta E.F.C. (Establecimiento Financiero de Credito) Sa – in liquidation7 (61% controlled and 39% held by CBI Factor) registered address: Torre Espacio – planta 45, Paseo de la Castellana 259 - Madrid (Spain) – share capital: 5.108.500 euro 39. BPB Funding Llc (100% controlled) registered address: One Rodney Square, 10th floor, Tenth and King Streets, Wilmington, New Castle County, Delaware, USA – share capital: 1.000.000 euro 40. BPB Capital Trust (100% controlled by BPB Funding Llc) registered address: One Rodney Square, 10th floor, Tenth and King Streets, Wilmington, New Castle County, Delaware, USA – share capital: 1.000 euro 41. Banca Lombarda Preferred Capital Company Llc (100% controlled) registered address: 1209, Orange Street the Corp. Trust Center, Wilmington, New Castle County, Delaware, USA – share capital: 1.000 euro 42. Banca Lombarda Preferred Security Trust (100% controlled) registered address: 1209, Orange Street the Corp. Trust Center, Wilmington, New Castle County, Delaware, USA – share capital: 1.000 euro 43. BPCI Funding Llc (100% controlled) registered address: One Rodney Square, 10th floor, Tenth and King Streets, Wilmington, New Castle County, Delaware, USA – share capital: 1.000.000 euro 44. BPCI Capital Trust (100% controlled by BPCI Funding Llc) registered address: One Rodney Square, 10th floor, Tenth and King Streets, Wilmington, New Castle County, Delaware, USA – share capital: 1.000 euro 45. Plurifid Spa (100% controlled) registered address: Torino, Via V. Alfieri, 17 – share capital: 390.000 euro 46. Solofid - Società Lombarda Fiduciaria Spa (100% controlled) registered address: Brescia, Via Cefalonia, 70 – share capital: 1.508.000 euro 47. Sifru Gestioni Fiduciarie Sim Spa (100% controlled by Solofid) registered address: Brescia, Via Cefalonia, 70 – share capital: 1.040.000 euro

48. Mercato Impresa Spa (98,557% controlled) registered address: Milano, Via G. Verdi, 6 – share capital: 3.500.000 euro 49. Coralis Rent Srl (100% controlled by Mercato Impresa) registered address: Milano, Via G. Verdi, 6 – share capital: 400.000 euro 50. Coralis Travel Srl (100% controlled by Mercato Impresa) registered address: Milano, Via G. Verdi, 6 – share capital: 110.000 euro

51. UBI Sistemi e Servizi SCpA – Consortium Stock Company (68% controlled and 4% held by Banca Popolare di Bergamo, 4% by Banco di Brescia, 4% by Banca Popolare Commercio e Industria, 4% by Banca Popolare di Ancona, 4% by Banca Carime, 4% by Banca Regionale Europea, 2% by Banco di San Giorgio, 2% by Banca di Valle Camonica, 2% by UBI Banca Private Investment, 1% by Centrobanca and 1% by CBI Factor) registered address: Brescia, Via Cefalonia, 62 – share capital: 26.000.000 euro 52. UBI CentroSystem Spa (100% controlled) registered address: Milano, Viale Monza, 265 – share capital: 6.516.000 euro 53. UBI Finance Srl (60% held) registered address: Milano, Foro Buonaparte, 74 – share capital: 10.000 euro

6 The company changed its legal status on 10th July 2008 from an Spa (joint stock, share, company) to an Srl (limited liability quota company), reducing its proprietary capital to 100.000 euro. 7 As provided for in the business plan policies for international strategy, the business of the company was transferred to the newly formed Madrid branch of UBI Banca International.

31 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 54. Albenza Srl8 55. Albenza 2 Srl8 56. Albenza 3 Srl8 57. Orio Finance Nr. 1 Plc8 58. Orio Finance Nr. 2 Plc8 59. Orio Finance Nr. 3 Plc8 60. Sintonia Finance Srl8 61. 24-7 Finance Srl9 62. Lombarda Lease Finance 2 Srl10 63. Lombarda Lease Finance 3 Srl10 64. Lombarda Lease Finance 4 Srl10 65. Lombarda Mortgage Finance 1 Srl10

Companies consolidated using the proportionate method (the investment is by the Parent Bank where no other indication is given):

1. UBI Trust Company Ltd (99,9980% controlled by UBI Banca International) registered address: Esplanade, 44 – St. Helier, Jersey (Great Britain) – share capital: 50.000 pounds sterling 2. BY YOU Spa11 (formerly Rete Mutui Italia Spa, 40% interest held) registered address: Milano, Corso Venezia, 37 – share capital: 650.000 euro 3. Barberini Sa (33,3333% interest held) registered address: Avenue de Tervueren 237 – Brussels (Belgium) – share capital: 3.000.000 euro 4. Prestitalia Spa (68,5185% controlled by Barberini Sa; UBI Banca holds a 22,8395% indirect interest) registered address: Roma, Salita San Nicola da Tolentino, 1/b, Sc. B – share capital: 9.385.200 euro

8 Special purpose entities formed in compliance with Law No. 130/1999 for the securitisations performed between 1999 and 2003 by the former BPB-CV Scrl (Albenza Srl, Albenza 2 Srl, Albenza 3 Srl), by BPU International Finance Plc Ireland, now closed down, (Orio Finance Nr.1 Plc, Orio Finance Nr. 2 Plc, Orio Finance Nr. 3 Plc) and by Centrobanca (Sintonia Finance Srl). They were included in the consolidated financial statements because these companies are in reality controlled, since their assets and liabilities were originated by Group member companies. As concerns Sintonia Finance, given that the securitisation was multioriginator, only those assets and liabilities relating to the operation originated by Centrobanca were consolidated. The consolidation only concerns those assets subject to securitisation and the relative liabilities issued. On 16th July 2008 Orio Finance Nr.1 Plc communicated to markets that it was calling the class A securities (370 million euro the amount issued, with approximately 23,5 million euro to be redeemed) and the class B securities (20 million euro the amount issued and to be redeemed), following the decision to exercise the call options, due to expire on 15th August 2008. In addition to these, Orio Finance Nr.1 Plc also called the junior security held by UBI Banca for redemption (28 million euro the amount issued and to be redeemed). It will be recalled that the Orio Finance Nr.1 securitisation, which involved the issue of notes by the entity in June 2000, is linked to a previous securitisation, performed in 1999, by which the former BPB-CV transferred mortgage loans to the special purpose entity Albenza Srl. The securities issued by Albenza – in a single class of notes – were purchased in full by BPB International Finance (put into liquidation in the meantime) and together with other assets – now fully redeemed – were subjected to securitisation with the formation of the entity Orio Finance Nr.1. The redemptions in progress will result in the exclusion of both Albenza Srl (the liquidation of which being a necessary condition for the call of the aforementioned securities) and Orio Finance Nr.1 Plc. from the consolidation. 9 The special purpose entity (formerly Lombarda Lease Finance 1 Srl) used in accordance with Law No. 130/1999 for the B@nca 24-7 securitisation. It was included in the consolidated financial statements because this company is in reality controlled, since its assets and liabilities were originated by a Group member company. UBI Banca holds a 10% stake in the company. 10 Special purpose entities formed in compliance with Law No. 130/1999 for the securitisations performed in 2001 by Banco di Brescia (Lombarda Mortgage Finance 1) and in the years running from 2002 to 2005 by SBS Leasing (Lombarda Lease Finance 2, Lombarda Lease Finance 3 and Lombarda Lease Finance 4). They were included in the consolidated financial statements because these companies are in reality controlled, since their assets and liabilities were originated by Group member companies. In this respect, UBI Banca holds an interest of 10% in each company. 11 The company has 100% control of: By You Piemonte Srl, By You Liguria Srl, By You Mutui Srl, By YouAdriatica Srl, By You Nord Srl (which fully controls Area Mutui Srl), By You Centro Srl and By You SudSrl, all proportionately consolidated in the Group accounts. On 27th May 2008 a resolution was passed to merge Area Mutui Srl into its parent By You Nord Srl.

32 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 5. Polis Fondi SGRpA (9,8% interest held)12 registered address: Milano, Via Mercato, 5 – share capital: 5.200.000 interest held

Companies consolidated using the equity method (the investment is by the Parent Bank where no other indication is given):

1. Aviva Vita Spa (50% interest held) registered address: Milano, Viale Abruzzi, 94 – share capital: 65.000.000 euro13 2. UBI Assicurazioni Vita Spa (49,9999% held by UBI Partecipazioni Assicurative) registered address: Milano, Piazzale f.lli Zavattari, 12 – share capital: 49.721.776 euro 3. Lombarda Vita Spa (49,9% interest held) registered address: Brescia, Corso Martiri della Libertà, 13 – share capital: 185.300.00014 euro 4. Lombarda China Fund Management Company (49% interest held) registered address: 45, Fl. Saige Plaza Huachiang Road, Shenzhen (Cina) – share capital: 120.000.000 yuan/renminbi 5. Secur Broker Srl (10% interest held by the Parent Bank and 30% by UBI Insurance Broker) registered address: Bergamo, Via f.lli Calvi, 15 – share capital: 46.800 euro 6. SF Consulting Srl (35% interest held) operating headquarters: Mantova, Via P.F. Calvi, 40 – share capital: 93.600 euro 7. Sofipo Fiduciaire Sa (30% interest held by Banque de Dépôts et de Gestion) registered address: Via Balestra, 22B - Lugano (Switzerland) – share capital: 2.000.000 Swiss francs 8. CFE Corporation Financière Européenne Sa (63,75% controlled) registered address: 47, Boulevard du Prince Henry B.P.308 – Luxembourg operating headquarters: 3, Rue du Marché – 1204 Geneva (Switzerland) – share capital: 1.300.000 euro 9. Arca SGR Spa (23,1240% interest held by the Parent Bank and 3,5840% by BPA) registered address: Milano, Via M. Bianchi, 6 – share capital: 50.000.000 euro 10. SPF Studio Progetti Finanziari Srl (25% interest held by BPA) registered address: Roma, Via Nazionale, 243 – share capital: 92.960 euro 11. Group Srl (22,5% interest held by Centrobanca Spa) registered address: Milano, Via Borgonuovo, 27 – share capital: 80.000 euro 12. Prisma Srl (20% interest held) registered address: Milano, Via S. Tecla, 5 – share capital: 120.000 euro 13. Sider Factor Spa (27% interest held by CBI Factor) registered address: Milano, Corso Matteotti, 12 – share capital: 1.200.000 euro 14. Tex Factor Spa (20% interest held by CBI Factor) registered address: Milano, Corso Matteotti, 12 – share capital: 1.033.000 euro 15. Capital Money Spa (20% interest held) registered address: Milano, Via Losanna, 16 – share capital: 1.200.000 euro15 16. Ge.Se.Ri. – Gestione Servizi di Riscossione Spa in liquidation (95% controlled by BRE) registered address: Cuneo, Via Roma, 13 – share capital: 323.520 euro

12 Polis was included in the consolidation using the proportionate method because joint control emerged following the signing on 18th October 2005 of both a shareholders’ agreement to stabilise the ownership structure and a shareholders’ syndicate agreement accounting for 51% of the share capital to which the parties are bound for three years. The shareholders are Sopaf (49%) and 5 “Popular” co-operative banks (UBI Banca, Banco Popolare, BPER, Banca Popolare di Sondrio and Banca Popolare di Vicenza) and Unione Fiduciaria. The company manages the fund Polis, listed on the stock exchange since April 2001, with assets under management as at 31st December 2007 of more than 320 million euro. 13 On 14th April 2008 a shareholders’ meeting passed a resolution to increase the share capital by a total of 20 million euro. The first tranche, which involved a payment of 5 million euro by UBI Banca, was paid up on the date of the shareholders’ resolution. The share capital had therefore risen as at 30th June 2008 to 65 million euro (55 million euro in December 2007). 14 An increase in the share capital was subscribed and paid up on 4th April 2008 totalling 50 million euro; the investment for UBI Banca amounted to 24,95 million. The share capital therefore rose from 135.300.000 euro at the end of 2007 to 185.300.000 euro as at 30th June 2008. 15 On 4th July 2008 an extraordinary shareholders’ meeting passed a resolution to increase the share capital by a total of 400.000 euro (80.000 euro attributable to UBI Banca). As a result of that operation the share capital rose to 1.600.000 euro.

33 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Changes in the scope of consolidation

There have been no changes to the scope of consolidation compared to 31st December 2007 except for a few changes in the percentage of shares owned, some further rationalisation intervention and the formation of two new companies.

The changes in the percentages of shares owned were as follows: - Banca Popolare di Ancona Spa: during the first few months of the year Parent Bank purchased a small fraction of the shares totalling 0,0121% of the share capital, increasing its controlling interest from 99,2236% as at 31st December 2007 to 99,2357%; - Banca Carime Spa: in the first half of the year UBI Banca made purchases from minority shareholders of 0,0013% of the share capital, to bring its controlling interest up to 85,8286% (85,8273% as at 31st December 2007); - Banco di San Giorgio Spa: the Parent Bank purchased 0,0712% of the share capital from minority shareholders, to bring its investment up to 34,7734% (34,7022% at the end of 2007). The bank is 91,1057% controlled by the Group as a whole; - IW Bank Spa: in order to consolidate its control over the company, UBI Banca proceeded to purchase 664.069 shares during the first half (0,902% of the share capital); the interest held therefore rose to 17,3983%. Total Group control of this internet bank is 51,2301%; - UBI Pramerica Alternative Investments SGR Spa: on 18th January 2008, a further 3,5% of the share capital was sold as part of a management loyalty scheme; the company is now 92,75% controlled by UBI Pramerica SGR (96,25% at the end of the year 2007); - UBI Assicurazioni Vita Spa: on 18th June 2008 the sale to Aviva Italia Holding Spa of 50% of the share capital plus one share was completed for consideration of 65 million euro with a net gain on the sale of more than 20 million. That partial disposal meant that the consolidation method was changed from full consolidation to consolidation by the equity method.

Intervention to streamline the equity investment portfolio based on the guidelines contained in Business Integration Plan involved the following: - Mercati Finanziari Sim: the company was merged into UBI Banca. The transaction was completed on 4th March 2008 with effect for accounting and tax purposes from 1st January 2008; - UBI Sim: the company was merged into Banca Lombarda Private Investment. The transaction took effect from 1st January 2008. On that same date the merging bank took the new name of UBI Banca Private Investment Spa; - Andros Broker di Assicurazione: the company was merged into UBI Insurance Broker (which already controlled the company) with effect from 1st January 2008; - SILF Spa: the company was subject to a partial proportional spin-off to B@nca 24-7 of those operations consisting of typical product company activities with effect from 1st January 2008. With effect on that same date, SILF reduced its share capital by 24,3 million euro (now amounting to 2 million euro) and B@nca 24-7 increased its share capital by the same amount (it now has share capital of 264,3 million). The partially spun-off company, which kept its own brand name, operates on the open market as a distribution network for B@nca 24-7 products working through agents; - UBI Pramerica SGR Spa: on 18th January, the reorganisation of the Italian asset management activities became effective with the contribution to UBI Pramerica SGR of both

34 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f the asset management business of Capitalgest SGR and the interest held by UBI Banca in Capitalgest Alternative Investments SGR.16 As already mentioned in previous financial reports, UBI Pramerica SGR increased its share capital as a result of these contributions, which then led to a dilution of the interest held by Prudential. In order to restore the initial percentage holdings (65% by the Group and 35% by Prudential), the necessary portion of the share capital was sold to the US partner for an agreed consideration of 105 million euro (77,1 million relating to BPA for the full disposal of its investment and 27,9 million to UBI Banca). The gain on the sale, amounting to approximately 50 million euro net, was recognised in the accounts in the first quarter of 2008. Having consulted the CONSOB (Italian securities market authority), on 4th June 2008 the Bank of Italy removed Capitalgest SGR Spa from the register of asset management companies, with the result that the company is no longer an asset management company and to all effects and purposes it is now a financial investment company only. It also changed its name to Capitalgest Spa. As part of that operation and also in consideration of the 100% control by the Parent Bank, it was decided to merge the company into UBI Banca using the simplified procedure which does not require a share exchange ratio (in accordance with Art. 2505 of the Italian Civil Code and by-law provisions). Subject to authorisation by the Supervisory Authority, the operation – approved by the Management Board of UBI Banca on 29th July 2008 – is scheduled for completion before the end of the year with effect for accounting and tax purposes from 1st January 2008; - SBS Leasing Spa and BPU Esaleasing Spa: both companies firstly increased their share capital during the first half in order to maintain an adequate level of capitalisation. More specifically, on 26th February 2008 the share capital of SBS Leasing was raised from 39.000.000 to 99.000.000 euro, while on 27th February 2008, UBI Banca and Banca Popolare di Ancona increased the share capital of BPU Esaleasing from 49.427.991 to 89.427.991 euro. On 30th June 2008 the deed for the merger of BPU Esaleasing into SBS leasing was signed with the subsequent change of the latter’s name to UBI Leasing. The transaction will take effect from 5th July, but with effect for accounting and tax purposes from 1st January 2008; - Gestioni Lombarda (Suisse) Sa: the entire interest held by UBI Banca International was sold on 11th April 2008 to Banque de Dépôts et de Gestion; - FinanzAttiva Servizi Srl: on 30th April 2008, UBI Banca purchased the equal interests in the share capital held by Centrobanca and by UBI Pramerica SGR for a consideration of 6,4 million euro. The company is now 100% controlled by the Parent Bank.

Two new companies were formed in the first half of the year: - BDG Singapore Pte Ltd: a Financial Advisory Company was formed in Singapore on 23rd January 2008 with the objective of strengthening the presence of Banque de Dépôts et de Gestion in that area where it already has a representative office. The new company is 100% owned by the Swiss bank and its activities will start after it receives authorisation from the Bank of Italy (having already received authorisation from the Monetary Authority of Singapore on 19th June 2008); - UBI Finance Srl: following the decision by the Parent Bank to implement a plan to issue covered bonds, this special purpose entity was formed on 18th March 2008 in accordance with Law No 130/1999 and enrolled on the general list of intermediaries pursuant to Art. 106 of the consolidated banking act. After it received authorisation from the Bank of Italy, on 26th June 2008 the Parent Bank increased its percentage ownership (10% when it was formed), by purchasing 50% of the share capital from Mara, the Dutch registered stichting. The company is now 60% controlled.

16 The asset management company of the Group controls both the alternative asset management companies, Capitalgest Alternative SGR specialising in funds of hedge funds and UBI Pramerica Alternative SGR specialising in pure hedge funds.

35 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Other changes:

- on 21st January 2008, the Parent Bank acquired 90% of the shares in Lombarda Lease Finance 1 Srl (LLF1) from the Dutch registered stitching, Brixia, to become the sole shareholder of the company. Lombarda Lease Finance 1, already enrolled on the special list in accordance with the Art. 107 of the consolidated banking act for a securitisation by SBS leasing, which has now been concluded, has been used as an SPE (Special Purpose Entity) for a securitisation of residential mortgages and salary backed loans granted by the subsidiary B@nca 24-7, with the objective of using the senior tranches as collateral for advances from the European Central Bank. In this respect the by-laws of the company were amended to permit the new multi-sector securitisation and to change the name of the company, which is now 24-7 Finance Srl. On 29th April 2008, 90% of the share capital was sold to the stichting Brixia and UBI Banca now holds a 10% stake in the company; - UBI Sistemi e Servizi SCpA: the project to streamline service activities involved the sale by the Parent Bank of a total of 33,2% of the share capital of UBI.S to user companies (9 network banks, Centrobanca and CBI Factor) for a total consideration of approximately 12,5 million euro. The sales transactions took place in April and May and another three share sales are still in the pipeline (1,2% of the share capital), to be performed when the relative board resolutions are passed. The company therefore change its legal status into that of a joint stock consortium with effect from 1st July 2008.

36 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The 2008 and 2007 (pro-forma) reclassified consolidated financial statements and reconciliations

Notes to the financial statements

The financial statements prepared on the basis of Bank of Italy Circular No. 262 of 22nd December 2005 and subsequent amendments and additions incorporate the balance sheet and income statement figures for the former Banca Lombarda e Piemontese Group from 1st April 2007, the date on which the merger took effect.

In order to allow a uniform comparison of Group performance, pro-forma reclassified financial statements as at 30th June 2007 and as at 31st December 2007 have therefore been prepared which include the items relating to the former BLP Group for the 2007 full first half and full year,. These consequently take account of the balance sheet and income statement items of the former BLP Group for the first three months of the year and also of the PPA’s effects as illustrated below.

In compliance with the international standard IFRS 3, the cost of acquisition (at the date of acquisition itself, amounting to 4,2 billion) was recognised in both the reclassified and the condensed half year mandatory balance sheets by allocating it to the fair value of the assets and liabilities of the merged bank, while maintaining the difference within goodwill.1

The pro-forma reclassified income statements include, in turn, the impact of the purchase price allocation, which was negative by 44,9 million in the first half of 2008. That effect – recalculated for all the previous comparison periods – amounted to 43,5 million in the first half of 2007 (the amount was not recognised in the mandatory statements for the first six months of 2007, because the purchase price allocation process had not yet been completed at that time).

The reclassified income statement figures to 30th June 2007 also incorporate, on an accruals basis, the amendments to Art. 52 of the Corporate By-Laws of UBI Banca and to Art. 31 of the Corporate By-Laws of BPB, approved when the financial statements for the year ended 31st December 2007 were approved, concerning the allocation of a share of net profit to staff pensions and social security, to be charged directly to staff expenses (+11,1 million the impact on staff costs in the first quarter of 2007).2

Following the partial disposal of UBI Assicurazioni Vita (50% of the share capital + one share), concluded on 18th June 2008, which meant that the consolidation method was changed from full consolidation to consolidation using the equity method, further pro-forma changes were made to the reclassified income statements and balance sheets for the first half of 2007 and for the full year 2007 in order to back-date the new consolidation criterion to 1st January 2007. This, however, did not affect the final net results. The change in the consolidation also affected the balance sheets for the two comparison periods, with changes in particular to direct funding from customers, resulting from the absence of UBI Assicurazioni Vita financial funding, and to the portfolio of financial assets, resulting from the absence of the related investments. Finally the balance sheets as at 30th June 2007 and 31st December 2007 were affected by the reclassification of repurchase and reverse repurchase agreements with an institutional

1 An analysis of the method adopted and details of the purchase price allocation to the assets and liabilities of the merged bank is given in the 2007 financial statements in the Notes to the Consolidated Financial Statements, Part G – Business combination transactions concerning companies or lines of business, which may be consulted. In this respect the indistinct goodwill was immediately tested for impairment in the 2007 financial year with results which confirmed the values recognised for the purchase price allocation. 2 See in this respect the 2007 financial statments, Notes to the Consolidated Financial Statements, Part A – Accounting Policies.

37 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f counterparty from the item “net interbank position” to the item “amounts due to/from customers”, which affected the related items in the income statements. This reclassification was necessary in order to align the classification of this counterparty in the former BL and BPU IT systems. The following rules have been applied to the reclassified statements to allow a vision that is more consistent with a management accounting style: - net income from insurance companies comprises the revenues of UBI Assicurazioni Spa: net interest, net premiums (item 150), profit from trading activities and net profit/loss from insurance operations and other (items 160 and 220 in the mandatory financial statements); - the tax recoveries recognised under item 220 of the mandatory financial statements (other operating income/expenses) were reclassified as a reduction in indirect taxes included in other administrative expenses; - the item profit (loss) of equity investments valued using the equity method includes the profit (loss) of equity investments valued using the equity method included under item 240 in the mandatory financial statements; - the item net impairment losses on property, plant and equipment and intangible assets includes items 200 and 210 in the mandatory financial statements and the instalments relating to the depreciation of costs incurred for improvements to third party assets classified under item 220; - the item profit (loss) on the disposal of equity investments includes the item 240, net of profit (loss) of equity investments valued using the equity method, and item 270 in the mandatory financial statements; - the item other net operating income/expense includes item 220, net of the reclassifications mentioned above; - integration costs include leaving incentive scheme expenses, consultancy costs and promotional expenses recognised within staff costs and other administrative expenses respectively.

The reconciliation of the items in the reclassified financial statements with the figures in the mandatory financial statements, prepared on the basis of Bank of Italy Circular No. 262 of 22nd December 2005, has been facilitated, on the one hand, with the insertion in the margin against each item of the corresponding number of the item in the mandatory financial statements with which it is reconciled and, on the other hand, with the preparation of specific reconciliation schedules. The comments on the performance of the main balance sheet and income statement items are made on the basis of the reclassified financial statements and of the pro-forma reclassified financial statements for the comparison periods, and the tables providing details included in the subsequent sections of this interim financial report have also been prepared on that same basis. In order to facilitate analysis of the Group’s performance and in compliance with CONSOB Communication No. DEM/6064293 of 28th July 2006, a special schedule has been included in the reclassified financial statements to show the impact on earnings only of the principal non- recurring events and items – the relative effects on capital and cash flow, as closely linked, not being significant – which are summarised as follows3: first half 2008 - integration costs resulting from the merger transaction; - gain on the disposal of a part of the interest in UBI Pramerica and of a part of the interest in UBI Assicurazioni Vita; - write down of the interest held in Hopa; - change in the method of calculating collective impairment losses on guarantees issued; - disposal of equity investments (Key Client formerly CIM Italia); - price adjustment for disposal of branches; - tax redemption on differences between statutory accounting values and values for tax purposes as at 31st December 2007. first half 2007 - reform of supplementary pensions; - integration costs resulting from the merger transaction (including an estimate of the costs of writing-off software and hardware to be abandoned); - the disposal of shares in the subsidiary IW Bank for the listing of that bank and the disposal of 15 branches by Banca Carime; - the non recoverability of the prior year tax losses of the former Banca Lombarda e Piemontese Spa relating to the first quarter of 2007, following the negative reply received from the tax authorities to the appeal presented concerning the method of applying the UBI tax consolidation; - impairment losses considered permanent on minority shareholdings (HRS and Hopa).

3 In order to refine accounting policies and processes, a new method was formulated for the definition of non- recurring items in the first annual financial statements of the UBI Banca Group. They are now selected on the basis of them reaching a certain percentage threshold of pre-tax profit (the significance of a single event, as well as a general assessment of items excluded after the procedure).

38 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified consolidated balance sheet

31.12.2007 30.6.2007 30.6.2008 Changes % change Changes % change pro-forma pro-forma A A-B A/B A-C A/C Figures in thousands of euro B C

ASSETS

10. Cash and cash equivalents 529.922 643.108 -113.186 -17,6% 470.341 59.581 12,7%

20 Financial assets held for trading 2.275.860 3.256.841 -980.981 -30,1% 6.714.221 -4.438.361 -66,1%

30. Financial assets at fair value 1.254.337 1.333.586 -79.249 -5,9% 3.501.859 -2.247.522 -64,2%

40. Available-for-sale financial assets 3.678.806 3.537.133 141.673 4,0% 2.698.649 980.157 36,3%

50. Held-to-maturity financial assets 1.401.857 1.254.520 147.337 11,7% 1.249.867 151.990 12,2%

60. Loans to banks 3.221.741 3.691.901 -470.160 -12,7% 3.909.475 -687.734 -17,6%

70. Loans to customers 96.506.114 92.972.478 3.533.636 3,8% 90.613.403 5.892.711 6,5%

80. Hedging derivatives 217.615 261.479 -43.864 -16,8% 374.120 -156.505 -41,8%

90. Fair value change of hedged financial assets (+/-) -70.934 -7.685 63.249 n.s. -16.721 54.213 324,2%

100. Equity investments 230.911 267.340 -36.429 -13,6% 214.451 16.460 7,7%

110. Technical reserves of reinsurers 84.441 91.434 -6.993 -7,6% 90.420 -5.979 -6,6%

120. Property, plant and equipment 2.131.786 2.154.133 -22.347 -1,0% 2.155.036 -23.250 -1,1%

130. Intangible assets 5.568.650 5.613.656 -45.006 -0,8% 5.666.899 -98.249 -1,7% of which: goodwill 4.357.430 4.352.160 5.270 0,1% 4.416.188 -58.758 -1,3%

140. Tax assets 1.004.769 1.201.850 -197.081 -16,4% 1.041.676 -36.907 -3,5%

150. Non-current assets and disposal groups held for sale 19.803 13.205 6.598 50,0% 9.760 10.043 102,9% 160. Other assets 2.662.354 2.315.878 346.476 15,0% 2.927.058 -264.704 -9,0% Total assets 120.718.032 118.600.857 2.117.175 1,8% 121.620.514 -902.482 -0,7%

LIABILITIES AND SHAREHOLDERS’ EQUITY

10. Due to banks 6.179.055 7.736.405 -1.557.350 -20,1% 11.517.461 -5.338.406 -46,4%

20. Due to customers 51.185.280 49.475.322 1.709.958 3,5% 48.477.182 2.708.098 5,6%

30. Securities issued 42.416.184 40.871.073 1.545.111 3,8% 40.352.443 2.063.741 5,1%

40. Financial liabilities held for trading 794.656 865.207 -70.551 -8,2% 1.328.079 -533.423 -40,2%

60. Hedging derivatives 396.679 351.723 44.956 12,8% 440.596 -43.917 -10,0%

80. Tax liabilities 1.360.800 1.773.057 -412.257 -23,3% 1.602.206 -241.406 -15,1% 90. Liabilities associated with disposal groups held for sale 6.609 - 6.609 - - 6.609 -

100. Other liabilities 4.756.203 3.487.042 1.269.161 36,4% 4.276.246 479.957 11,2%

110. Staff severance provision 425.648 469.715 -44.067 -9,4% 472.316 -46.668 -9,9%

120. Provisions for liabilities and charges: 361.253 321.695 39.558 12,3% 527.767 -166.514 -31,6% a) pension and similar obligations 82.361 84.139 -1.778 -2,1% 88.813 -6.452 -7,3% b) other provisions 278.892 237.556 41.336 17,4% 438.954 -160.062 -36,5% 130. Technical reserves 380.198 373.859 6.339 1,7% 364.718 15.480 4,2% 140.+170. +180.+190. Share capital, share premiums and reserves 10.841.295 10.849.349 -8.054 -0,1% 10.879.376 -38.081 -0,4% 210. Minority interests 1.094.986 1.085.839 9.147 0,8% 1.022.010 72.976 7,1%

220. Profit for the period 519.186 940.571 n.s. n.s. 360.114 159.072 44,2% Total liabilities and shareholders’ equity 120.718.032 118.600.857 2.117.175 1,8% 121.620.514 -902.482 -0,7%

The situation restated excluding amounts relating to the 61 30.6.2008 31.12.2007 Changes % change 30.6.2007 Changes % change branches sold to Banca Popolare di Vicenza from the figures as at A B A-B A/B C A-C A/C 30th June 2007.

Direct funding from customers 93.601.464 90.346.395 3.255.069 3,6% 88.371.312 5.230.152 5,9% Loans to customers 96.506.114 92.972.478 3.533.636 3,8% 89.646.507 6.859.607 7,7% Assets under custody 37.482.667 39.471.188 -1.988.521 -5,0% 39.605.105 -2.122.438 -5,4% Assets under management 45.370.082 51.324.145 -5.954.063 -11,6% 54.794.244 -9.424.162 -17,2% Indirect funding from ordinary customers 82.852.749 90.795.333 -7.942.584 -8,7% 94.399.349 -11.546.600 -12,2%

39 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified consolidated income statement

2nd Quarter 30.6.2007 2nd Quarter 31.12.2007 30.6.2008 Changes % change 2007 pro-forma 2008 pro-forma Figures in thousands of euro pro-forma

10.-20. Net interest income 1.464.722 1.298.122 166.600 12,8% 732.839 653.850 2.690.033 of which: effects of the purchase price allocation (43.298) (49.169) (5.871) (11,9%) (24.079) (26.874) (87.808) Net interest income excluding the effects of the PPA 1.508.020 1.347.291 160.729 11,9% 756.918 680.724 2.777.841

70. Dividend and similar income 68.475 79.744 (11.269) (14,1%) 66.839 74.488 83.539

Profit (loss) of equity investments valued using the equity method 14.200 15.554 (1.354) (8,7%) 5.470 7.289 32.529

40.-50. Net commission income 619.830 674.521 (54.691) (8,1%) 302.430 345.288 1.332.218 Performance fees - 4.517 (4.517) (100,0%) - 2.296 12.617 80.+90.+ Net income from trading, hedging and disposal/repurchase 100.+110. activities and from assets/liabilities at fair value 10.892 73.831 (62.939) (85,2%) 37.980 23.966 101.919

150.+160. Net income on insurance operations 13.811 20.394 (6.583) (32,3%) 9.700 11.637 39.878

220. Other net operating income/(expense) 55.791 76.930 (21.139) (27,5%) 24.003 37.411 149.582

Operating income 2.247.721 2.243.613 4.108 0,2% 1.179.261 1.156.225 4.442.315

Operating income excluding the effects of the PPA 2.291.019 2.292.782 (1.763) (0,1%) 1.203.340 1.183.099 4.530.123

180.a Staff costs (809.253) (755.576) 53.677 7,1% (414.609) (357.931) (1.537.002)

180.b Other administrative expenses (373.573) (369.309) 4.264 1,2% (199.233) (190.388) (768.255) 200.+210. Net impairment losses on property, plant and equipment and intangible assets (133.494) (119.897) 13.597 11,3% (66.942) (62.286) (244.807) of which: effects of the purchase price allocation (36.464) (30.810) 5.654 18,4% (18.237) (15.405) (61.620)

Net impairment losses on property, plant and equipment and intangible assets excluding the effects of PPA (97.030) (89.087) 7.943 8,9% (48.705) (46.881) (183.187)

Operating costs (1.316.320) (1.244.782) 71.538 5,7% (680.784) (610.605) (2.550.064)

Operating costs excluding the effects of the PPA (1.279.856) (1.213.972) 65.884 5,4% (662.547) (595.200) (2.488.444)

Net operating income 931.401 998.831 (67.430) (6,8%) 498.477 545.620 1.892.251

Net operating income excluding the effects of the PPA 1.011.163 1.078.810 (67.647) (6,3%) 540.793 587.899 2.041.679

130.a Net impairment losses on loans (154.195) (115.058) 39.137 34,0% (93.973) (51.827) (345.635)

130.b+ c+d Net impairment losses on other assets and liabilities 3.507 (5.898) (9.405) n.s. 3.517 (4.802) (28.571)

190. Net provisions for liabilities and charges (25.920) (13.603) 12.317 90,5% (17.431) (2.853) (37.955) 240.+270. Profit (loss) from disposal of equity investments 79.090 21.545 57.545 267,1% 21.708 21.217 22.796

Profit (loss) on continuing operations before tax 833.883 885.817 (51.934) (5,9%) 412.298 507.355 1.502.886 Profit (loss) on continuing operations before tax excluding the effects of the PPA 913.645 965.796 (52.151) (5,4%) 454.614 549.634 1.652.314

290. Taxes on income for the period for continuing operations (227.085) (363.091) (136.006) (37,5%) (66.345) (195.653) (597.263) of which: effects of the purchase price allocation 25.815 30.591 (4.776) (15,6%) 13.782 16.171 57.157 Integration costs (28.457) (146.301) (117.844) (80,5%) (14.037) (146.301) (166.721) of which: staff costs (18.523) (188.095) (169.572) (90,2%) (8.634) (188.095) (193.517) other administrative expenses (21.190) (6.960) 14.230 204,5% (10.788) (6.960) (32.817) net impairment losses on property plant and equipment and intangible assets (1.040) (25.877) (24.837) (96,0%) (718) (25.877) (27.207) taxes 12.296 74.631 (62.335) (83,5%) 6.103 74.631 86.820 310.

After tax profit (loss) from discontinued operations (11.029) 16.584 (27.613) n.s. (11.029) 16.868 308.547

330. Profit (loss) for the period attributable to minority interests (48.126) (32.895) 15.231 46,3% (20.971) (15.468) (106.878) of which: effects of the purchase price allocation 9.070 5.913 3.157 53,4% 4.942 3.036 11.505 Profit (loss) for the period attributable to the shareholders of the Parent Bank excluding the effects of the PPA 564.063 403.589 160.474 39,8% 323.508 189.873 1.021.337 Profit (loss) for the period attributable to the shareholders of the Parent Bank 519.186 360.114 159.072 44,2% 299.916 166.8010 940.571

0 Total impact of the purchase price allocation on the income statement (44.877) (43.475) 1.402 3,2% (23.592) (23.072) (80.766)

The item “Net impairment losses on loans” to 31st December 2007 includes the impact of the change in the method for calculating collective impairment losses on performing loans, amounting to 85,1 million euro.

40 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified consolidated quarterly income statements

2008 2007

1st Quarter 4th Quarter 3rd Quarter 2nd Quarter 1st Quarter 2nd Quarter Figures in thousands of euro pro-forma pro-forma pro-forma pro-forma pro-forma

10.-20. Net interest income 732.839 731.883 719.762 672.149 653.850 644.272 of which: effects of the purchase price allocation (24.079) (19.219) (18.272) (20.367) (26.874) (22.295) Net interest income excluding the effects of the PPA 756.918 751.102 738.034 692.516 680.724 666.567

70. Dividend and similar income 66.839 1.636 3.227 568 74.488 5.256 Profit (loss) of equity investments valued using the equity method 5.470 8.730 8.491 8.484 7.289 8.265

40.-50. Net commission income 302.430 317.400 333.917 323.780 345.288 329.233 Performance fees - - 8.012 88 2.296 2.221

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and from 100.+110. assets/liabilities at fair value 37.980 (27.088) 22.476 5.612 23.966 49.865

150.+160. Net income on insurance operations 9.700 4.111 11.945 7.539 11.637 8.757

220. Other net operating income/(expense) 24.003 31.788 38.247 34.405 37.411 39.519 Operating income 1.179.261 1.068.460 1.146.077 1.052.625 1.156.225 1.087.388 Operating income excluding the effects of the PPA 1.203.340 1.087.679 1.164.349 1.072.992 1.183.099 1.109.683

180.a Staff costs (414.609) (394.644) (395.140) (386.286) (357.931) (397.645)

180.b Other administrative expenses (199.233) (174.340) (225.799) (173.147) (190.388) (178.921) 200.+210. Net impairment losses on property, plant and equipment and intangible assets (66.942) (66.552) (63.340) (61.570) (62.286) (57.611) of which: effects of the purchase price allocation (18.237) (18.227) (15.405) (15.405) (15.405) (15.405) Net impairment losses on property, plant and equipment and intangible assets excluding the effects of the PPA (48.705) (48.325) (47.935) (46.165) (46.881) (42.206) Operating costs (680.784) (635.536) (684.279) (621.003) (610.605) (634.177) Operating costs excluding the effects of the PPA (662.547) (617.309) (668.874) (605.598) (595.200) (618.772) Net operating income 498.477 432.924 461.798 431.622 545.620 453.211 Net operating income excluding the effects of the PPA 540.793 470.370 495.475 467.394 587.899 490.911

130.a Net impairment losses on loans (93.973) (60.222) (163.861) (66.716) (51.827) (63.231) 130.b+c+d Net impairment losses on other assets and liabilities 3.517 (10) (20.236) (2.437) (4.802) (1.096)

190. Net provisions for liabilities and charges (17.431) (8.489) (18.379) (5.973) (2.853) (10.750)

240.+270. Profit (loss) from disposal of equity investments 21.708 57.382 1.040 211 21.217 328 Profit (loss) on continuing operations before tax 412.298 421.585 260.362 356.707 507.355 378.462 Profit (loss) on continuing operations before tax excluding the effects of the PPA 454.614 459.031 294.039 392.479 549.634 416.162

290. Taxes on income for the period for continuing operations (66.345) (160.740) (70.526) (163.646) (195.653) (167.438) of which: effects of the purchase price allocation 13.782 12.033 12.883 13.683 16.171 14.420 Integration costs (14.037) (14.420) (14.244) (6.176) (146.301) - of which: staff costs (8.634) (9.889) (2.746) (2.676) (188.095) - other administrative expenses (10.788) (10.402) (19.732) (6.125) (6.960) - net impairment losses on property, plant and equipment and intangible assets (718) (322) (357) (973) (25.877) - taxes 6.103 6.193 8.591 3.598 74.631 -

310. After tax profit (loss) from discontinued operations (11.029) - 291.925 38 16.868 (284)

330. Profit (loss) for the period attributable to minority interests (20.971) (27.155) (51.329) (22.654) (15.468) (17.427) of which: effects of the purchase price allocation 4.942 4.128 2.796 2.796 3.036 2.877 Profit (loss) for the period attributable to the shareholders of the Parent Bank excluding the effects of the PPA 323.508 240.555 434.186 183.562 189.873 213.716 Profit (loss) for the period attributable to the shareholders of the Parent Bank 299.916 219.270 416.188 164.269 166.801 193.313

Total impact of tthe purchase price allocation on the income statement (23.592) (21.285) (17.998) (19.293) (23.072) (20.403)

The item “Net impairment losses on loans” in the fourth quarter of 2007 includes the impact of the change in the method for calculating collective impairment losses on performing loans, amounting to 85,1 million euro.

41 Gruppo UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified consolidated income statement net of the most significant non-recurring items

non-recurring items 30.6.2007 30.6.2007 30.6.2008 pro-forma pro-forma net of non- net of non % changes 30.6.2008 Disposal of Impairment of Branch disposal Net impairment recurring items recurring Changes A-B A/B Integration Tax redemption equity equity price losses on A Other costs and items costs EC section investments B Leaving investments adjustment guarantees IT system write- incentives B offs Figures in thousands of euro Net interest income (including the effects of PPA) 1.464.722 1.464.722 1.298.122 1.298.122 166.600 12,8% non-recurring items Dividend and similar income 68.475 68.475 79.744 79.744 (11.269) (14,1%) Integration costs Disposal of Impairment of Profits (losses) of equity investments valued using the equity method 14.200 14.200 15.554 Effect of investments equity 15.554 (1.354) (8,7%) supplementary and Banca investments Net commission income 619.830 619.830 674.521 674.521 (54.691) (8,1%) pension reform Carime and other Performance fees - - 4.517 branches items 4.517 (4.517) (100,0%)

Net income from trading, hedging and disposal/repurchase activities and from assets/liabilities at fair value 10.892 (7.055) 3.837 73.831 73.831 (69.994) (94,8%) Net income on insurance operations 13.811 13.811 20.394 20.394 (6.583) (32,3%) Other net operating income/(expense) 55.791 55.791 76.930 76.930 (21.139) (27,5%)

Operating income (including the effects of PPA) 2.247.721 - - - (7.055) - - 2.240.666 2.243.613 - - - - - 2.243.613 (2.947) (0,1%) Staff costs (809.253) (809.253) (755.576) (49.396) (804.972) 4.281 0,5% Other administrative expenses (373.573) (373.573) (369.309) (369.309) 4.264 1,2%

Net impairment losses on property, plant and equipment and intangible assets (including the effects of PPA) (133.494) (133.494) (119.897) (119.897) 13.597 11,3%

Operating costs (including the effects of PPA) (1.316.320) ------(1.316.320) (1.244.782) - - (49.396) - - (1.294.178) 22.142 1,7%

Net operating income (including the effects of PPA) 931.401 - - - (7.055) - - 924.346 998.831 - - (49.396) - - 949.435 (25.089) (2,6%) Net impairment losses on loans (154.195) (154.195) (115.058) 2.398 (112.660) 41.535 36,9%

Net impairment losses on other assets and liabilities 3.507 6.432 (8.501) 1.438 (5.898) 5.085 (813) 2.251 n.s. Net provisions for liabilities and charges (25.920) (25.920) (13.603) 2.283 (11.320) 14.600 129,0% Profit (loss) from disposal of equity investments 79.090 (79.053) 37 21.545 (21.262) 48 331 (294) (88,8%)

Profit (loss) on continuing operations before tax (including PPA) 833.883 - 6.432 - (86.108) - (8.501) 745.706 885.817 - - (49.396) (21.262) 9.814 824.973 (79.267) (9,6%) Taxes on income for the period for continuing operations (227.085) (73.832) 7.548 2.338 (291.031) (363.091) 16.301 555 6.650 (339.585) (48.554) (14,3%)

Integration costs (28.457) 28.457 - (146.301) 125.677 20.624 - - - of which: staff costs (18.523) 18.523 - (188.095) 187.577 518 - - - other administrative expenses (21.190) 21.190 - (6.960) 6.960 - - - net impairment losses on property, plant and equipment and intangible assets (1.040) 1.040 - (25.877) 25.877 - - - taxes 12.296 (12.296) - 74.631 (61.900) (12.731) - - -

After tax profit (loss) from discontinued operations (11.029) 11.029 - 16.584 (16.584) - - - Profit (loss) for the period attributable to minority interests (48.126) (1.324) 6.115 563 (1.831) 970 (43.633) (32.895) (9.793) (33) 1.730 2.205 (86) (38.872) 4.761 12,2% Profit (loss) for the period attributable to the shareholders of the Parent Bank 519.186 27.133 6.432 (67.717) (77.997) 9.198 (5.193) 411.042 360.114 115.884 20.591 (31.365) (35.086) 16.378 446.516 (35.474) (7,9%)

ROE (annualised) 9,6% 7,6% 6,6% 8,2% Cost / Income ratio (including the effects of PPA) 58,6% 58,7% 55,5% 57,7% Cost / Income ratio (excluding the effects of PPA) 55,9% 56,0% 52,9% 55,1%

42 Gruppo UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reconciliation schedule to 30th June 2008

30th June 30th June RECLASSIFIED INCOME STATEMENT reclassifications 2008 2008

Items mandatory net income profit of equity Deprec. for reclassified consolidated integration from tax investments improvement consolidated financial costs insurance recoveries valued at s to leased financial Figures in thousands of euro statements operations equity assets statements

10.-20. Net interest income 1.470.815 (6.093) 1.464.722

70. Dividend and similar income 68.475 68.475

Profit (loss) of equity investments valued using the equity method - 14.200 14.200

40.-50. Net commission income 619.830 619.830

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and from 100.+110. assets/liabilities at fair value 10.892 10.892

150.+160. Net income from insurance operations 8.176 5.635 13.811

220. Other net operating income/(expense) 130.592 458 (80.024) 4.765 55.791

Operating income 2.308.780 - - (80.024) 14.200 4.765 2.247.721

180.a Staff costs (827.776) 18.523 (809.253)

180.b Other administrative expenses (474.787) 21.190 80.024 (373.573)

200.+210. Net impairment losses on property, plant and equipment and intangible asse (129.769) 1.040 (4.765) (133.494)

Operating costs (1.432.332) 40.753 - 80.024 - (4.765) (1.316.320)

Net operating income 876.448 40.753 - - 14.200 - 931.401

130.a Net impairment losses on loans (154.195) (154.195)

130.b+c+d Net impairment losses on other assets and liabilities 3.507 3.507

190. Net provisions for liabilities and charges (25.920) (25.920)

240.+270. Profit (loss) from disposal of equity investments 93.290 (14.200) 79.090

Profit (loss) on continuing operations before tax 793.130 40.753 - - - - 833.883

290. Taxes on income for the period for continuing operations (214.789) (12.296) (227.085)

Integration costs - (28.457) (28.457)

310. After tax profit (loss) from discontinued operations (11.029) (11.029)

330. Profit (loss) for the period attributable to minority interests (48.126) (48.126) Profit (loss) for the period attributable to the shareholders of the Parent Bank 519.186 - - - - - 519.186

Reconciliation schedule to 30th June 2007

30th June 30th June pro-forma RECLASSIFIED INCOME STATEMENT reclassifications 2007 pro- 2007 effect forma Amendments to Items mandatory PPA effect UBI Assicuazzioni net income profit of Deprec. for reclassified 1st Quarter corporate by-laws consolidated 1st Vita - effect of from tax investments improvement consolidated 2007 BLP concerning staff Integration costs consolidation by valued at financial Quarter pensions and insurance recoveries s to leased financial Group equity method Figures in thousands of euro statements 2007 social security operations equity assets statements

10.-20. Net interest income 1.160.035 237.225 (49.169) (44.575) (5.394) 1.298.122

70. Dividend and similar income 79.454 290 79.744

Profit (loss) of equity investments valued using the equity method - - 5.305 10.249 15.554

40.-50. Net commission income 554.928 119.557 4.553 679.038

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and 100.+110. from assets/liabilities at fair value 55.295 18.596 (60) 73.831

150.+160 Net income from insurance operations (8.855) - 24.025 5.224 20.394

220. Other net operating income/(expense) 112.121 37.742 2.785 170 (81.445) 5.557 76.930

Operating income 1.952.978 413.410 (49.169) (7.967) - - - (81.445) 10.249 5.557 2.243.613

180.a Staff costs (802.559) (131.231) 1.223 (11.104) 188.095 (755.576)

180.b Other administrative expenses (375.977) (84.744) 3.007 6.960 81.445 (369.309) Net impairment losses on property, plant and equipment and 200.+210 intangible assets (95.449) (14.246) (30.810) 288 25.877 (5.557) (119.897)

Operating costs (1.273.985) (230.221) (30.810) 4.518 (11.104) 220.932 - 81.445 - (5.557) (1.244.782)

Net operating income 678.993 183.189 (79.979) (3.449) (11.104) 220.932 - - 10.249 - 998.831

130.a Net impairment losses on loans (97.396) (17.662) (115.058) 130.b+c+ d+260 Net impairment losses on other assets and liabilities (5.819) (79) (5.898)

190. Net provisions for liabilities and charges (4.639) (8.964) (13.603)

240.+270 Profit (loss) from disposal of equity investments 27.203 4.591 (10.249) 21.545

Profit (loss) on continuing operations before tax 598.342 161.075 (79.979) (3.449) (11.104) 220.932 - - - - 885.817

290. Taxes on income for the period for continuing operations (251.883) (70.617) 30.591 3.449 (74.631) (363.091)

Integration costs - (146.301) (146.301)

310. After tax profit (loss) from discontinued operations 16.584 16.584

330. Profit (loss) for the period attributable to minority interests (29.433) (9.375) 5.913 (32.895)

Profit (loss) for the period attributable to the shareholders of the Parent Bank 333.610 81.083 (43.475) - (11.104) - - - - - 360.114

43 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reconciliation schedule to 31st December 2007

31st 31st December RECLASSIFIED INCOME STATEMENT December pro-forma effect reclassifications 2007 2007 pro-forma Items mandatory UBI net income profit of Deprec. for reclassified 1st Quarter PPA effect consolidated Assicuazzioni integration from tax investments improvement consolidated 2007 BLP Vita - effect of 1st Quarter financial costs insurance recoveries valued at s to leased financial Group consolidation by 2007 Figures in thousands of euro statements equity method operations equity assets statements

10.-20. Net interest income 2.571.993 243.897 (92.132) (22.295) (11.430) 2.690.033

70. Dividend and similar income 83.249 290 83.539

Profit (loss) of equity investments valued using the equity method - - 13.364 19.165 32.529

40.-50. Net commission income 1.215.619 119.746 9.470 1.344.835

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and from 100.+110. assets/liabilities at fair value 83.333 18.651 (65) 101.919

150.+160. Net income from insurance operations (19.288) - 47.583 11.583 39.878

220. Other net operating income/(expense) 269.006 30.047 5.330 (153) (166.167) 11.519 149.582

Operating income 4.203.912 412.631 (16.450) (22.295) - - (166.167) 19.165 11.519 4.442.315

180.a Staff costs (1.601.756) (131.076) 2.313 193.517 (1.537.002)

180.b Other administrative expenses (887.255) (84.510) 4.526 32.817 166.167 (768.255)

200.+210. Net impairment losses on property, plant and equipment and intangible as (231.996) (13.673) 579 (15.405) 27.207 (11.519) (244.807)

Operating costs (2.721.007) (229.259) 7.418 (15.405) 253.541 - 166.167 - (11.519) (2.550.064)

Net operating income 1.482.905 183.372 (9.032) (37.700) 253.541 - - 19.165 - 1.892.251

130.a Net impairment losses on loans (328.015) (17.620) - (345.635)

130.b+c+d+260. Net impairment losses on other assets and liabilities (28.497) (74) - (28.571)

190. Net provisions for liabilities and charges (29.968) (8.022) 35 (37.955)

240.+270. Profit (loss) from disposal of equity investments 37.333 4.628 - (19.165) 22.796

Profit (loss) on continuing operations before tax 1.133.758 162.284 (8.997) (37.700) 253.541 - - - - 1.502.886

290. Taxes on income for the year for continuing operations (460.673) (73.187) 8.997 14.420 (86.820) (597.263)

Integration costs - - - (166.721) (166.721)

310. After tax profit (loss) from discontinued operations 308.547 - - 308.547

330. Profit for the year attributable to minority interests (100.820) (8.935) - 2.877 (106.878)

Profit for the year attributable to the shareholders of the Parent Bank 880.812 80.162 - (20.403) - - - - - 940.571

44 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Traditional banking business

The comments that follow are based on the consolidated balance sheet items contained in the reclassified pro-forma consolidated financial statements and on the relevant tables providing details. The section “Consolidated companies: the principal figures” may be consulted for information on individual banks and Group member companies.

Direct funding

Total funding as at 30th June 2008, consisting of total amounts administered on behalf of customers, amounted to 176,5 billion euro, a decrease year-on-year of 4,2% (-5,3% net of issues purchased by institutional customers) compared to 184,2 billion in the first half 2007 which included the amounts for the 61 branches sold to Banca Popolare di Vicenza at the end of the year.

Total funding from customers

31.12.2007 30.6.2007 30.6.2008 %%%pro-forma pro-forma Changes A/C Figures in thousands of euro ABCamount %

Direct funding 93.601.464 53,0% 90.346.395 49,9% 88.829.625 48,2% 4.771.839 5,4% Indirect funding 82.852.749 47,0% 90.795.333 50,1% 95.332.372 51,8% -12.479.623 -13,1% of which: assets under management 45.370.082 25,7% 51.324.145 28,3% 55.380.751 30,1% -10.010.669 -18,1% TOTAL FUNDING 176.454.213 100,0% 181.141.728 100,0% 184.161.997 100,0% -7.707.784 -4,2%

TOTAL FUNDING restated as at 30th June 2007 excluding amounts relating to the 61 branches sold to Banca Popolare di Vicenza 176.454.213 181.141.728 182.770.661 -6.316.448 -3,5%

Restated on a like-for-like basis, the aggregate decreased by 3,5% (-4,5% net of institutional funding) affected by the continued weakness of financial markets since July 2007 and more specifically by the outflows from mutual investment funds which became even more substantial during the year.

As can be seen from the table, the performance of direct funding over twelve months (+4,8 billion euro) only partially compensated for the reduction in the indirect component (-12,5 billion euro) - heavily penalised by assets under management (-10 billion) - which fell to less than 50% of the total.

Direct funding from customers – which is the sum of “due to customers” (liabilities item 20 on the balance sheet) and “securities issued” (liabilities item 30 on the balance sheet) – amounted to 93,6 billion euro with year-on-year growth of 5,4% (+4,6% net of institutional funding), also buoyed in the second quarter by the issue of new financial instruments destined to institutional customers.

On a like-for-like basis, the increase on an annual basis was 5,9% (+5,3%, net of the institutional component).

In terms of the types of funding, the growth in direct funding (+4,8 billion) consisted of 2,1 billion euro from securities issued and of 2,7 billion euro from all other funding taken together. The latter included a driving role played by repurchase agreements (+3,8 billion over twelve months) with a progressively greater preference than in the past (up from 1,8 to 7,6 billion euro) given to the use of intragroup securities. These more than compensated for both the reduction in term deposits (-0,6 billion euro) and in current accounts (-0,6 billion euro) which nevertheless continued to constitute the principal form of funding.

45 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Direct funding from customers

31.12.2007 30.6.2007 30.6.2008 % pro-forma % pro-forma % Changes A/C amount % Figures in thousands of euro ABC

Due to customers (liabilities item 20) 51.185.280 54,7% 49.475.322 54,8% 48.477.182 54,6% 2.708.098 5,6% Securities issued (liabilities item 30) 42.416.184 45,3% 40.871.073 45,2% 40.352.443 45,4% 2.063.741 5,1% of which from institutional customers: 15.217.506 16,3% 13.470.457 14,9% 13.904.591 15,7% 1.312.915 9,4% - EMTN (*) 13.382.027 14,3% 13.470.457 14,9% 13.904.591 15,7% -522.564 -3,8% - French certificates of deposit 1.032.575 1,1% - - - - 1.032.575 - - Euro Commercial Paper 802.904 0,9% - - - - 802.904 - TOTAL DIRECT FUNDING 93.601.464 100,0% 90.346.395 100,0% 88.829.625 100,0% 4.771.839 5,4% of which: - subordinated liabilities 3.746.822 4,0% 3.847.684 4,3% of which: - preference shares (**) 577.074 0,6% 606.740 0,7% - EMTN (subordinated securities) (*) 2.219.532 2,4% 2.239.636 2,5%

TOTAL DIRECT FUNDING restated as at 30th June 2007 excluding amounts relating to the 61 branches sold to Banca Popolare di Vicenza 93.601.464 90.346.395 88.371.312 5.230.152 5,9%

(*) The corresponding nominal amounts were 13.313 million euro as at 30th June 2008 (2.200 million euro subordinated), 13.378 million euro as at 31st December 2007 (2.200 million euro subordinated) and 13.927 million euro as at 30th June 2007 (2.490 million euro subordinated). (**) The preference shares were issued for nominal amounts by BPB Capital Trust of 300 million euro, by Banca Lombarda Preferred Securities Trust of 155 million euro and by BPCI Capital Trust of 115 million euro.

Composition of direct funding from customers

31.12.2007 30.6.2007 30.6.2008 % pro-forma % pro-forma % Changes A/C amount % Figures in thousands of euro AB C

Current accounts and deposits 40.163.401 42,9% 40.367.312 44,7% 40.781.307 45,9% -617.906 -1,5% Term deposits 1.143.994 1,2% 1.661.489 1,9% 1.736.439 2,0% -592.445 -34,1% Funds administered on behalf of public bodies 3.504 0,0% 3.785 0,0% 4.786 0,0% -1.282 -26,8% Financing 7.634.816 8,2% 3.917.735 4,3% 1.843.759 2,1% 5.791.057 314,1% - finance leases 949 0,0% 1.772 0,0% 1.931 0,0% -982 -50,9% - repurchase agreements 7.627.871 8,1% 3.705.651 4,1% 1.777.589 2,0% 5.850.282 329,1% - other 5.996 0,1% 210.312 0,2% 64.239 0,1% -58.243 -90,7% Amounts due for commitments to repurchase own equity 173.101 0,2% 175.611 0,2% 171.339 0,2% 1.762 1,0% instruments Liabilities relating to assets transferred not derecognised in the -64,3% financial statements 1.119.963 1,2% 2.357.428 2,6% 3.135.842 3,5% -2.015.879 - repurchase agreements 1.119.963 1,2% 2.357.428 2,6% 3.135.842 3,5% -2.015.879 -64,3% - other ------Other payables 946.501 1,0% 991.962 1,1% 803.710 0,9% 142.791 17,8% Total amounts due to customers 51.185.280 54,7% 49.475.322 54,8% 48.477.182 54,6% 2.708.098 5,6% Bonds 36.349.136 38,8% 37.065.767 41,0% 36.909.178 41,5% -560.042 -1,5% Other certificates 6.067.048 6,5% 3.805.306 4,2% 3.443.265 3,9% 2.623.783 76,2% Total securities issued 42.416.184 45,3% 40.871.073 45,2% 40.352.443 45,4% 2.063.741 5,1% TOTAL DIRECT FUNDING 93.601.464 100,0% 90.346.395 100,0% 88.829.625 100,0% 4.771.839 5,4%

Securities issued, increased by 2,1 billion to 42,4 billion. The slight reduction in funding from bonds (-0,5 billion), attributable principally to issues maturing, was offset by an increase in “other certificates” (+2,6 billion), the result, amongst other things, of new issuances of Euro Commercial Paper and of French Certificates of Deposit performed since last June.

The use of these financial instruments forms part of a policy to diversify sources of funding (see the section “The interbank market and the liquidity situation”), which also involves the issue of covered bonds (Obbligazioni Bancarie Garantite).

The authorisation formalities for the programme to issue covered bonds was completed in the first half of 2008 in accordance with the 2007-2010 Business Plan. This programme, which was presented in the first week of July on a road show in major European financial centres, is for maximum issues during the three year period of 10 billion euro. The bonds, which have already been given a “triple A”, “presale” rating by the agencies Standard & Poor’s, Moody’s and Fitch Ratings will be listed on the London Stock Exchange.

46 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The institutional funding of the Group, totalling 15,2 billion euro as at 30th June 2008, is composed as follows: y French certificates of deposit for one billion euro, issued by the Luxembourg branch of Banco di Brescia Spa as part of a programme for a maximum issue of two billion euro; y Euro Commercial Paper for 0,8 billion, issued by the Luxembourg branch of Banco di Brescia Spa as part of a programme for a maximum issue of three billion euro; y EMTN securities (Euro Medium Term Notes) for 13,4 billion, issued by UBI Banca as part of a programme for a maximum issuance of 15 billion euro (13,5 billion at the end of the year, 13,9 billion in June 2007).

As concerns the EMTN programme, four issuances were performed for a total nominal amount of 1.140 million euro over the previous twelve months. The first two (for 880 million euro) took place between the end of July and the beginning of August 2007 and the others (for 260 million euro) between May and June 2008. Resort to the market was suspended for the whole of the intervening period due to the liquidity crisis which affected markets, causing a broadening of the credit spread. Over the same period nine securities matured/were called early, one of which with lower tier 2 subordination for a nominal amount of 1.754 million. More specifically, maturities in the first half of 2008 involved two securities with a value of 325 million euro.

Subsequent to the end of the first half and until the date of this financial report, securities amounting to 490 million euro have matured and further securities amounting to approximately 600 million euro will mature in the last half of 2008, with 3,6 billion euro maturing in 2009. Issuances of EMTN securities and covered bonds totalling 5 billion euro are planned for the second half of 2008 in relation, amongst other things, to maturities of existing institutional funding, (see the following section relating to activity on the interbank market).

All the EMTN securities are admitted for trading: the UBI Banca issues and those originally issued by the former BPU Banca on the London Stock Exchange and the notes originally issued by the former Banca Lombarda e Piemontese on the Luxembourg Stock Exchange. The renewal of the EMTN programme for the same maximum amount is currently being finalised with the London listing authority.

* * *

Direct funding increased compared to December by 3,2 billion euro (+3,6%) benefiting from the positive performance of both securities issued (+1,5 billion euro as a result of short term institutional funding) and other forms of funding (+1,7 billion euro) and from repurchase agreements in particular (+2,7 billion), which more than compensated for the reduction in other forms of funding.

* * *

As concerns customer market segmentation, management accounting figures for the average volumes of direct funding for the network banks1 and for UBI Banca Private Investment show that in June 2008 74,6% of funding from customers came from the retail market, 16,4% came from the private banking market and the remaining 9% from the corporate market. In terms of trends, those same management figures show growth on an annual basis2 of +8,3% for the retail market, +25,5% for the private banking market and -15% for the corporate market, within which the core segment remained basically stable (-0,5%) compared to -45,1% for the large segment, which reflects the Group’s lending policy to that segment.

* * *

1 Banca Popolare di Ancona was excluded in relation to the IT migration which took place on the last weekend of April. 2 The changes relate to average balances in the month of June.

47 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Geographical distribution of direct funding from The geographical distribution of traditional funding in customers by region of location of the branch Italy (consisting of current accounts, savings deposits (excluding repurchase agreements and bonds) (*) and certificates of deposit) was in line with the local “historical” roots of the Group, with a strong concentration of funding in northern regions (71,9%), 30.6.2008 31.12.2007 Percentage of total compared to both southern regions (14,5%) and central Italy (13,6%). Lombardy 60,41% 59,94% Lat iu m 7,81% 7,98% Piedmont 7,12% 7,41% Marches 4,96% 4,82% Ca la bria 4,63% 4,89% Ca mpania 4,10% 4,07% Pu glia 4,09% 4,20%

Liguria 1,54% 1,49% Emilia Romagna 1,34% 1,46% Veneto 1,19% 1,03% Ba silica ta 0,90% 0,91% Umbria 0,66% 0,63% Abru zzo 0,51% 0,46% Friuli Venezia Giulia 0,26% 0,27% Molise 0,26% 0,24% Tuscany 0,15% 0,14% Trentino Alto A dige 0,03% 0,02% Sicily 0,02% 0,02% Valle d'Aosta 0,01% 0,01% Sardinia 0,01% 0,01% Total 100,00% 100,00%

* The aggregat es relat e to banks only

Indirect funding and assets under management

At the end of the first half indirect funding amounted to 82,9 billion euro a decrease of 13,1% compared to 95,3 billion euro twelve months previously (-12,2% on a like-for-like basis).

Indirect funding from ordinary customers

31.12.2007 30.6.2007 30.6.2008 Changes A/B Variazioni A/C % pro-forma pro-forma % A amount % amount % Figures in thousands of euro B C

Assets under custody 37.482.667 45,2% 39.471.188 -1.988.521 -5,0% 39.951.621 41,9% -2.468.954 -6,2% Assets under management 45.370.082 54,8% 51.324.145 -5.954.063 -11,6% 55.380.751 58,1% -10.010.669 -18,1% Customer portfolio management 11.020.938 13,3% 14.763.135 -3.742.197 -25,3% 16.249.445 17,0% -5.228.507 -32,2% of which: fund based instruments 3.134.144 3,8% 5.317.634 -2.183.490 -41,1% 6.473.244 6,8% -3.339.100 -51,6% Mutual investment funds and SICAVs 22.657.454 27,4% 24.715.447 -2.057.993 -8,3% 27.111.354 28,4% -4.453.900 -16,4% Insurance policies and pension funds 11.691.690 14,1% 11.845.563 -153.873 -1,3% 12.019.952 12,6% -328.262 -2,7% of which: Insurance policies 11.502.999 13,9% 11.845.563 -342.564 -2,9% 11.935.870 12,5% -432.871 -3,6% Total ordinary customers 82.852.749 100,0% 90.795.333 -7.942.584 -8,7% 95.332.372 100,0% -12.479.623 -13,1%

TOTAL INDIRECT FUNDING 30.6.2007 restated as at 30th June 2007 excluding amounts 30.6.2008 31.12.2007 Variazioni A/D pro-forma relating to the 61 branches sold to Banca Popolare A B in valore in % D di Vicenza Assets under custody 37.482.667 39.471.188 39.605.105 -2.122.438 -5,4% Assets under management 45.370.082 51.324.145 54.794.244 -9.424.162 -17,2% Total ordinary customers 82.852.749 90.795.333 94.399.349 -11.546.600 -12,2%

As can be seen from the table, the substantial reduction in assets under management (-18,1%, -10 billion euro) – attributable to the continued unfavourable conditions experienced by financial markets since July 2007 – was also accompanied by a decrease in the assets under custody component (-6,2%; -2,5 billion euro).

48 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The year-on-year change in the two items on a like-for-like basis was -17,2% for managed assets and -5,4% for assets under administration.

All components of assets under management – which as a share of the total fell by more than three percentage points – recorded negative performance. Only the insurance sector managed to hold up to some extent, with the reduction contained to a modest -3,6%.

* * *

Approximately two thirds of the fall recorded in indirect funding over twelve months relates to the first half of 2008, reflecting the considerable instability on financial markets. The reduction, which totalled 8 billion euro, consists of approximately 2 billion euro in assets under custody and 6 billion euro in assets under management.

* * *

As concerns the UBI Group’s asset management companies, the Assogestioni (association of asset management companies) figures for mutual investment funds and SICAVs reported the following for the first half: net negative inflows of approximately 1.845 million euro, corresponding to 7,1% of assets under management (the fall for the sector nationally was 70,4 billion euro, accounting for 12,3% of assets under management); a reduction in assets under management of 10,8%, lower in percentage terms than that of all our main competitors.

Lending

Composition of loans to customers

31.12.2007 30.6.2007 30.6.2008 Changes A/C pro-forma pro-forma %% %

Figures in thousands of euro AB Camount%

Current account overdrafts 16.874.359 17,5% 16.366.825 17,6% 16.064.776 17,7% 809.583 5,0% Reverse repurchase agreements 55.472 0,1% 553.663 0,6% 485.000 0,5% -429.528 -88,6% Mortgage loans and other medium-to-long-term financing 42.727.250 44,3% 43.207.011 46,5% 41.133.663 45,4% 1.593.587 3,9% Credit cards, personal loans and salary backed loans 5.051.501 5,2% 4.238.521 4,6% 3.718.831 4,1% 1.332.670 35,8% Finance leases 8.034.052 8,3% 7.349.794 7,9% 6.541.313 7,2% 1.492.739 22,8% Factoring 1.964.030 2,0% 2.094.787 2,2% 1.749.716 1,9% 214.314 12,2% Debt securities 181.780 0,2% 141.604 0,1% 132.712 0,2% 49.068 37,0% Other transactions 16.580.915 17,2% 16.613.103 17,9% 18.426.322 20,3% -1.845.407 -10,0% Assets transferred not derecognised 3.221.919 3,3% 735.443 0,8% 864.356 1,0% 2.357.563 272,8% Impaired assets 1.814.836 1,9% 1.671.727 1,8% 1.496.714 1,7% 318.122 21,3% TOTAL 96.506.114 100,0% 92.972.478 100,0% 90.613.403 100,0% 5.892.711 6,5%

TOTAL LOANS TO CUSTOMERS restated as at 30th June 2007 excluding amounts relating to the 61 branches sold to Banca Popolare di Vicenza 96.506.114 92.972.478 89.646.507 6.859.607 7,7%

Lending to customers at the end of June 2008 totalled 96,5 billion euro, with growth of 6,5% on an annual basis (+5,9 billion euro).

If the comparison figures for June 2007 are calculated net of the amounts for the branches subsequently sold to Banca Popolare di Vicenza, the growth rate for lending is 7,7%, compared to an average of +8,3% for the sector nationally.

It must nevertheless be considered that as part of the action taken by the Group to manage its liquidity position (see the section “The interbank market and the liquidity situation”), a policy was adopted to contain exposures to the large corporate segment (-2,9 billion over twelve months), by acting specifically on “very short term lending” transactions. If loans granted to

49 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f that segment were excluded, growth in lending to customers would record annual growth on a like-for-like basis of 12,9%.

As a result of the different trends which characterised the two aggregates, the ratio of lending to funding of 103,1%, recorded a progressive increase compared to both December (102,9%) and June 2007 (102%).

The composition by type of lending shows a partial change in the composition over twelve months in favour of the more dynamic types of lending. In detail: y mortgages and other medium-to-long-term lending increased by approximately 1,6 billion to 42,7 billion, again the most prevalent type, slightly down as a percentage of total loans at 44,3%. The performance must in reality be interpreted in combination with the item “assets transferred not derecognised” within which the securitised assets of B@nca 24-7 were recognised (performing residential mortgages amounting to 2.591 million euro)3. Considered together, the two items recorded an annual increase of 9,4%. As concerns mortgages for the purchase of homes, these exceeded 16 billion euro, an improvement on an annual basis of more than 6%; y finance leases increased by 1,5 billion to 8 billion (+22,8%), to account for more than 8% of the total; y the various types of consumer credit, which continue to record significant growth, increased by 1,3 billion euro to more than 5 billion euro (+35,8%) to account for more than 5% of the total. In this respect B@nca 24-7 disbursed loans in the first half originated by the network banks of the Group amounting to 687 million euro (460 million euro in the first six months of 2007); y lending by factoring increased by 0,2 billion euro, to reach almost 2 billion euro; y reverse repurchase agreements with customers fell from 0,5 billion euro to 55,5 million euro as a result of the policy to optimise liquidity management which led to a reduction in financial lending in favour of direct financing of the economy.

The UBI Group also continues, with respect to medium to long term lending, to pay particular attention to “convention” loans, i.e. loans provided on the basis of agreements with guarantee bodies and trade associations. Approximately 0,5 billion euro of this type of loan was disbursed in the first half of 2008 which raised the total existing stock to approximately 2,6 billion from 2,5 billion at the end of 2007 (2,2 billion as at 30th June 2007). The standardisation of the commercial offer for the guarantee bodies located in the main areas of integration and historical market coverage by the former BPU and the former BL network banks was completed in the first half –– along with the simultaneous revision of pricing for both short and medium-to-long-term lines of lending based on risk-yield profiles, in compliance with Basel 2. The commercial range and loan conditions are currently being revised for the other areas in which the network banks of the Group are present.

* * *

Total loans increased by 3,5 billion compared to December, including 2,5 billion attributable to “assets transferred not derecognised”, in relation to the B@nca 24-7 securitisation already mentioned. The residual part of the growth in the first half was generated by current account overdrafts, by consumer credit and leasing, which, taken together, more than offset the decrease in mortgage loans and reverse repurchase agreements.

3 On 1st June 2008, B@nca 24-7 transferred assets, consisting of 21.573 performing residential mortgage loans, for a nominal amount of 2.505 million euro to the special purpose entity 24-7 Finance Srl. The special purpose entity issued two tranches of mortgage backed securities in relation to that transfer: - Class A for a nominal amount of 2.279.250.000 euro, with a Moody’s AAA rating, listed on the Dublin stock exchange and eligible for refinancing with the European Central Bank; - Class B for a nominal amount of 225.416.196 with no rating. On 1st July B@nca 24-then transferred 54.627 salary backed loans for a nominal amount of 836.178.307 euro to that special purpose entity.

50 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

* * *

As concerns customer market segmentation, management figures for average amounts of lending by network banks4 and by UBI Banca Private Investment show that in June 2008 51,3% was destined to the retail market, 47,7% to the corporate market and the remaining 1% to the private banking market.

In terms of trends, those same management figures show that change on an annual basis was negative on aggregate for the corporate market (-1,9%), within which the core segment increased by +9% compared to -16,3% for the large Concentration of risk corporate segment. Lending to the retail market on the (percentage of total loans and advances and guarantees for the largest customers or groups) other hand increased by 9,3% (including +12,6% for the “small business” segment).

Customers or Groups 30.6.2008 31.12.2007 Again on the basis of management figures, results for network banks only and for Centrobanca showed the Largest 10 4,2% 5,0% following at the end of the first half: Largest 20 6,8% 7,7% Largest 30 8,5% 9,6% - in terms of the category of debtor, a little less than Largest 40 9,8% 11,0% 90% of lending was to production companies and to Largest 50 10,9% 12,1% household consumers, which confirms the traditional vocation of the Group to support the local economies it serves (in detail 64,8% was to production companies and the remaining 24,9% to household consumers); - as concerns the distribution by sector of lending to non financial companies and to producer households, “other services destined for sale” and “commercial services”, which are also heterogeneous by nature, accounted for the largest

percentage (41,5% considered together) followed by the Geographical distribution of loans to construction sector (14,8%), energy products (4,8%) and customers by region of location of the branch metal products (4,2%), while textiles and foodstuffs (*) accounted for 3,3% each. 30.6.2008 31.12.2007 P ercentage of total

From the viewpoint of concentration, the table shows Lombardy 69,94% 69,96% details of cash and signature loans drawn by the largest 50 Piedmont 6,41% 6,56% customers or groups. Latium 4,54% 4,81% The constant attention paid to the distribution of risk – in Marches 4,14% 4,27% Liguria 2,65% 2,46% the form of specific risk policies for the concentration of Emilia Romagna 2,24% 2,10% exposures at Group level – has produced a significant Campania 2,05% 2,08% improvement in the situation as at 30th June 2008 Puglia 1,96% 1,87% compared to the end of 2007 for all customer levels shown. Veneto 1,81% 1,78% Calabria 1,73% 1,63% Umbria 0,62% 0,61% As regards “large exposures” (positions amounting to more Abruzzo 0,61% 0,62% than 10% of consolidated supervisory capital), at the end Basilicata 0,41% 0,39% of the first half the Group had only one such position – Friuli Venezia Giulia 0,40% 0,39% amounting to approximately 1,2 billion euro – primarily Molise 0,27% 0,27% Tuscany 0,16% 0,14% attributable to the investment held in Intesa Sanpaolo Sicily 0,04% 0,04% (while the remainder related to ordinary lending activity Valle d'Aosta 0,02% 0,02% and positions in securities and derivatives). Trentino Alto Adige 0,00% 0,00% Sardinia 0,00% 0,00% Total 100,00% 100,00% Details are given of the geographical distribution of lending in the table “geographical distribution of loans to * Gli aggregati patrimoniali si riferiscono al perimetro bancario. customers by region of location of the branch”. 100,00 100,00 The total share of lending to northern regions amounted to 83,5% of the total, while that to central regions constituted 9,4%. The remaining 7,1% was to southern regions.

4 Banca Popolare di Ancona was excluded in relation to the IT migration which took place on the last weekend of April.

51 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Finally with regard to risk, there has been a progressive increase in net deteriorated assets since the third quarter of 2007, which reached 1,81 billion euro at the end of June 2008, an increase of 0,32 billion (+21,3%) over twelve months and 0,14 billion (+8,6%) over six months.

This performance correlates with the deterioration in the economic situation in progress and regards both non-performing loans and impaired loans, the latter to a greater degree, against a further, although slight, reduction in loans past due and in arrears and practically no change for restructured loans.

Loans to customers as at 30th June 2008

Figures in thousands of euroGross exposure Impairment Carrying amount Coverage (*)

Deteriorated loans (2,96%) 2.900.885 1.086.049 (1,88%) 1.814.836 37,44% - Non-performing loans (1,67%) 1.630.440 890.473 (0,77%) 739.967 54,62% - Impaired loans (1,05%) 1.029.356 167.025 (0,89%) 862.331 16,23% - Restructured loans (0,11%) 110.477 21.221 (0,09%) 89.256 19,21% - Past due loans (0,13%) 130.612 7.330 (0,13%) 123.282 5,61% Performing loans (97,04%) 95.022.124 330.846 (98,12%) 94.691.278 0,35% of which: Unguaranteed loans to countries at risk (0,01%) 6.741 228 (0,01%) 6.513 TOTAL 97.923.009 1.416.895 96.506.114 The figures in brackets show each item’s share of the total

Loans to customers as at 31st December 2007 pro-forma

Figures in thousands of euroGross exposure Impairment Carrying amount Coverage (*)

Deteriorated loans (2,83%) 2.672.596 1.000.869 (1,80%) 1.671.727 37,45% - Non-performing loans (1,61%) 1.519.694 820.541 (0,75%) 699.153 53,99% - Impaired loans (0,96%) 905.690 150.900 (0,81%) 754.790 16,66% - Restructured loans (0,10%) 97.597 16.023 (0,09%) 81.574 16,42% - Past due loans (0,16%) 149.615 13.405 (0,15%) 136.210 8,96% Performing loans (97,17%) 91.626.172 325.421 (98,20%) 91.300.751 0,36% of which: Unguaranteed loans to countries at risk (0,01%) 10.086 269 (0,01%) 9.817 TOTAL 94.298.768 1.326.290 92.972.478 The figures in brackets show each item’s share of the total

Loans to customers as at 30th June 2007 pro-forma

Figures in thousands of euroGross exposure Impairment Carrying amount Coverage (*)

Doubtful loans (2,65%) 2.433.371 936.657 (1,65%) 1.496.714 38,49% - Non-performing loans (1,52%) 1.392.030 768.017 (0,69%) 624.013 55,17% - Impaired loans (0,86%) 791.478 141.173 (0,72%) 650.305 17,84% - Restructured loans (0,12%) 109.002 17.277 (0,10%) 91.725 15,85% - Past due loans (0,15%) 140.861 10.190 (0,14%) 130.671 7,23% Performing loans (97,35%) 89.361.479 244.790 (98,35%) 89.116.689 0,27% of which: Unguaranteed loans to countries at risk (0,01%) 10.246 135 (0,01%) 10.111 TOTAL 91.794.850 1.181.447 90.613.403 The figures in brackets show each item’s share of the total

(*) The coverage is calculated as the ratio of impairment to gross exposure.

In detail: ▪ net non performing loans rose over twelve months from 624 million euro to 740 million euro, with a total increase of 116 million (+18,6%), consisting of 41 million in the first half of 2008 and of the remaining 75 million in the second half of 2007. That performance was also accompanied by a parallel increase in impairment losses, which was greater in the first half of 2008 (the relative stock did in fact rise from 820 to 890 million euro), partly as a result of the standardisation of the valuation criteria employed for the non-performing loans and impaired loans of the network banks following centralisation of management for these in the Parent Bank.

52 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Consequently the coverage for non-performing loans (ratio of impairment to gross exposure) rose from 54% in December to 54,6% in June 2008, only slightly below the level in June 2007 (55,2%)5. In percentage terms, at the end of the first half the ratio of net non-performing loans to net lending was 0,77%, slightly worse than in December (0,75%) and in June 2007 (0,69%), but nevertheless lower than the average for the banking sector (1,02% in May 2008). ▪ net impaired loans rose over twelve months from 650 million euro to 862 million euro, a total increase of 212 million (+32,6%). The trend for the aggregate was affected, amongst other things, by the stricter classification criteria adopted by the network banks in 2008, by which the passage from past due and in arrears status to impaired status is automatic once 60 days have elapsed (98 million euro gross in the first six months of 2008). As a consequence, the ratio of net impaired loans to net lending had reached 0,89%, at the end of the first half, an increase compared to both December (0,81%) and one year before (0,72%). Coverage for impaired loans was 16,2%, virtually unchanged compared to December (16,7%) but down on twelve months previously (17,8%).

5 For a proper evaluation of that ratio, however, it should be considered that once an account is subject to proceedings by creditors (bankruptcy, prior arrangements with creditors, extraordinary administration, etc.), the part of the positions considered uncollectable together with the relevant adjustments are written off.

53 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The interbank market and the liquidity situation

Net interbank position

31.3.2008 31.12.2007 30.9.2007 30.6.2007 30.6.2008 Changes A/C pro-forma pro-forma pro-forma pro-forma A amount % B C D E Figures in thousands of euro

Loans to banks 3.221.741 3.200.893 3.691.901 -470.160 -12,7% 3.702.398 3.909.475 Due to banks 6.179.055 8.205.228 7.736.405 -1.557.350 -20,1% 6.461.373 11.517.461 NET INTERBANK POSITION -2.957.314 -5.004.335 -4.044.504 -1.087.190 26,9% -2.758.975 -7.607.986

The comparison figures differ from those previously published as a result of the reclassification of repurchase agreements with the Cassa di Compensazione e Garanzia (central counterparty clearing) from the item “net interbank position” to the item “due to/from customers”. The reclassification was necessary in order to align the location of this counterparty in the former BL and BPU IT systems.

As at 30th June 2008 the UBI Banca Group recorded net indebtedness on the interbank market of -2,96 billion euro, below the alert thresholds defined by Group policy for managing liquidity risk and also appreciably below both the previously published figures (-5 billion in March 2008; -4 billion in December 2007) and the highest levels reached during the course of 2007.

As concerns the types of lending and funding, the details in the tables show a significant reduction during the first half in repurchase agreements with bank counterparties other than the central bank, especially with regard to lending, and the complete elimination of exposure to the lender of last resort which amounted to 500 million euro at the end of March.

Against its interbank indebtedness, the Group can count on assets eligible as collateral for refinancing with the Central Bank amounting to 3,4 billion euro, an increase compared to 1,4 billion in the first quarter consistent with lines of action decided to increase reserves of last resort.

In detail, assets eligible as collateral with the Central Bank are composed as follows: y securities classified as AFS and HTM for a nominal amount of 1,4 billion; y securitisation of B@nca 24-7 assets for a nominal amount of 2,3 billion (2 billion the amount eligible); y assets eligible1 resulting from compliance with “ABACO2” of approximately 0,2 billion.

In addition to the increase in reserves of last resort, decisions were taken and implemented during the course of the first half designed to maintain interbank exposure constantly below the level of the early warning thresholds set. These included: a) diversification of the sources of funding by resorting to types of short term funding that are less costly than issues on the EMTN market and alternative to borrowing on the interbank market. More specifically the Group commenced issues of Euro Commercial Paper and of certificates of deposit on the French Market during the first quarter for a total amount of 1,9 billion (1,8 billion as at 30th June);

1 In order to qualify as eligible an asset must meet requirements concerning the following: type of debtor/guarantor (public sector, non financial company, international and supranational institutions), high credit rating (at least single “A” credit rating level, equivalent to a default probability of 0,10 percent) and a minimum amount (1 million euro for national use until 2011). 2 ABACO (attivi bancari collateralizzati: collateralised bank assets) is the name of the procedure set up by the Bank of Italy for the management of bank loans eligible for refinancing.

54 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f b) the completion of the operations in preparation for the issue of covered bonds; c) the disinvestment of assets (mainly capitalisation policies) totalling 0,5 billion in the first half; d) the implementation of a policy to contain lending to the large corporate segment mainly in the form of very short term lending business (see the section “Traditional banking activities” in this respect).

Issuances of EMTNs and covered bonds totalling 5 billion euro are planned for the second half of 2008. The distribution between the two types of funding will be decided on the basis of market conditions which are still uncertain.

The subsequent section, “information on risks and hedging policies”, may be consulted for information on the management of liquidity risk.

Lending to banks: composition

31.12.2007 30.6.2007 30.6.2008 Changes A/B % pro-forma % pro-forma A amount % Figures in thousands of euro B C

A. Loans to Central Banks 869.319 27,0% 223.057 6,0% 646.262 289,7% 1.084.664 1. Term deposits ------2. Compulsory reserve requirement 869.308 27,0% 222.568 6,0% 646.740 290,6% 1.083.890 3. Reverse repurchase agreements ------4. Other 11 0,0% 489 0,0% -478 -97,8% 774 B. Loans to banks 2.352.422 73,0% 3.468.844 94,0% -1.116.422 -32,2% 2.824.811 1. Current accounts and deposits 833.447 25,9% 1.445.997 39,2% -612.550 -42,4% 1.006.970 2. Term deposits 419.817 13,0% 554.443 15,0% -134.626 -24,3% 678.644 3. Other financing 1.099.094 34,1% 1.468.343 39,8% -369.249 -25,1% 1.139.136 3.1 reverse repurchase agreements 8.991 0,3% 703.223 19,1% -694.232 -98,7% 517.966 3.2 finance leases 3.361 0,1% 3.402 0,1% -41 -1,2% 3.639 3.3 other 1.086.742 33,7% 761.718 20,6% 325.024 42,7% 617.531 4. Debt securities ------5. Impaired assets 64 0,0% 61 0,0% 3 4,9% 61 6. Assets transferred not derecognised ------TOTAL 3.221.741 100,0% 3.691.901 100,0% -470.160 -12,7% 3.909.475

Amounts due to banks: composition

31.12.2007 30.6.2007 30.6.2008 Changes A/B % pro-forma % pro-forma A amount % Figures in thousands of euro B C

1. Due to central banks 3.018 0,0% 561.675 7,3% -558.657 -99,5% 4.326 1.1 Repurchase agreements - - 352.316 4,6% -352.316 -100,0% - 1.2 Other 3.018 0,0% 209.359 2,7% -206.341 -98,6% 4.326 2. Due to banks 6.176.037 100,0% 7.174.730 92,7% -998.693 -13,9% 11.513.135 2.1 1. Current accounts and deposits 1.501.761 24,3% 2.611.363 33,8% -1.109.602 -42,5% 6.155.683 2.2 Term deposits 1.727.256 28,0% 2.164.905 28,0% -437.649 -20,2% 2.741.537 2.3 Financing 1.804.843 29,2% 1.654.232 21,4% 150.611 9,1% 1.493.972 2.3.1 finance leases ------2.3.2 other 1.804.843 29,2% 1.654.232 21,4% 150.611 9,1% 1.493.972 2.5 Liabilities relating to assets transferred not derecognised 421.871 6,8% 352.653 4,5% 69.218 19,6% 959.740 2.5.1 Repurchase agreements 421.871 6,8% 352.653 4,5% 69.218 19,6% 959.740 2.6 Other payables 720.306 11,7% 391.577 5,0% 328.729 84,0% 162.203 TOTAL 6.179.055 100,0% 7.736.405 100,0% -1.557.350 -20,1% 11.517.461

55 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Financial activities

Total financial assets of the Group as at 30th June 2008 amounted to 8,6 billion euro, a decrease of 8,2% compared to 9,4 billion at the end of 2007 and of 39,2% compared to 14,2 billion in June 2007 (the comparison figures have been restated to take account of the absence of the assets of UBI Assicurazioni Vita1, partially disposed of during the first half and consequently no longer fully consolidated). Net of financial liabilities held for trading, consisting of financial derivatives and uncovered short positions, the aggregate amounted to 7,8 billion euro compared to 8,5 billion euro at the end of 2007 and 12,8 billion euro in June 2007.

The main causes of the decrease in financial assets that occurred over the twelve month period are as follows: - the early reimbursements of capitalisation policies on which the profitability was marginal; - the reformulation of the investment strategy for the UBI Banca portfolio managed by the Group’s management company under the management mandate granted to it in 2008, with a significant reduction in the “cash financial assets” component; - the disinvestments in financial assets held for trading decided under liquidity management policies, which were only partly offset by reinvestments in available-for-sale financial assets.

Financial assets/liabilities of the Group

31.12.2007 Changes 30.6.2007 30.6.2008 pro-forma pro-forma Figures in thousands of euro amount %

Financial assets held for trading 2.275.860 3.256.841 -980.981 -30,1% 6.714.221 Financial assets at fair value 1.254.337 1.333.586 -79.249 -5,9% 3.501.859 Available-for-sale financial assets 3.678.806 3.537.133 141.673 4,0% 2.698.649 Held-to-maturity financial assets 1.401.857 1.254.520 147.337 11,7% 1.249.867 TOTAL FINANCIAL ASSETS 8.610.860 9.382.080 -771.220 -8,2% 14.164.596 Financial liabilities held for trading 794.656 865.207 -70.551 -8,2% 1.328.079 Total net of financial liabilities 7.816.204 8.516.873 -700.669 -8,2% 12.836.517

Management figures2, also restated to exclude the UBI Assicurazioni Vita assets, show the following: - in terms of type of financial instrument, the securities portfolio of the Group as at 30th June 2008 was composed as follows: 42,6% of government securities, 28,6% of corporate securities (mainly issued by banks), 10,7% of hedge funds, 9,4% of capitalisation certificates and the remainder consisting of funds, equities and other instruments; - from a financial viewpoint, in addition to the proportion of capitalisation certificates present already mentioned, fixed rate securities accounted for 36,4% of the portfolio and variable rate securities for approximately 26,4%, while structured instruments, present mainly in the held-to-maturity portfolio, accounted for 12%, with the remainder composed of equities, funds and convertible bonds; - as concerns the reference currency, more than 95% of the securities were denominated in euro, while from the viewpoint of geographical distribution, 91% of the investments were located in the euro area and 5,7% in USA securities; - finally an analysis by rating (which excludes capitalisation certificates) shows that approximately 96% of the portfolio consisted of “investment grade” securities, with an average rating of A2.

1 The change in the method of consolidation for UBI Assicurazioni Vita, now valued at shareholders’ equity, had an impact on the pro-forma figures for financial assets as at 30th June and as at 31st December 2007, which was negative by approximately 2,7 billion euro, including 2,2 billion euro relating to AFS financial assets (mainly invested in government and supranational securities) with the remainder in assets held for trading. 2 The management accounting figures exclude equity investments, derivatives and some minor portfolios.

56 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Financial instruments held for trading

Financial assets held for trading (asset item 20)

The item “Financial assets held for trading” (asset item 20) includes financial trading instruments “used to generate a profit from short-term fluctuations in price or from a dealer’s margin” They are recognised at fair value through profit or loss – FVPL.

Financial assets held for trading: composition

31.12.2007 Changes 30.6.2007 30.6.2008 pro-forma (a/b) pro-forma Total Total Total Figures in thousands of euro Listed Unlisted Listed Unlisted amount % (a) (b) (c)

A. On-balance sheet assets Debt securities 880.155 244.681 1.124.836 1.541.735 332.865 1.874.600 -749.764 -40,0% 4.688.463 of which: Assets transferred not 545.241 545.241 1.148.482 - 1.148.482 -603.241 3.061.117 - -52,5% derecognised Equity instruments 190.055 89.331 279.386 36.555 112.917 149.472 129.914 86,9% 571.704 Units of O.I.C.R. 160.217 - 160.217 564.084 -403.867 -71,6% 728.723 (collective investment instruments) 564.083 1 Financing - 8.953 8.953 - 12.942 12.942 -3.989 -30,8% - Impaired assets ------Total A 1.230.427 342.965 1.573.392 2.142.373 458.725 2.601.098 -1.027.706 -39,5% 5.988.890 B. Derivative instruments Financial derivatives 10.896 691.572 702.468 171 655.572 655.743 46.725 7,1% 725.331 Credit derivatives ------Total B 10.896 691.572 702.468 171 655.572 655.743 46.725 7,1% 725.331 TOTAL (A+B) 1.241.323 1.034.537 2.275.860 2.142.544 1.114.297 3.256.841 -980.981 -30,1% 6.714.221

Financial assets held for trading as at 30th June amounted to 2.276 million euro, compared to 3.257 million euro at the end of the year (-30,1%). The reduction of 981 million euro was partially offset by new investments classified within other classes of financial assets. On the one hand, there was in fact an increase in assets eligible for refinancing with the central bank, some of which were classified as available-for-sale and held-to-maturity financial assets (see the previous section “The interbank market and the liquidity situation) and on the other hand, the change in the composition of investments in hedge funds continued with new purchases designated under the fair value option.

It will be recalled that assets held for trading also include the Parent Bank portfolio managed by the Group’s asset management company, under the management mandate granted to it, which has a maximum investment ceiling on it for 2008 of 1,6 billion for the UBI Banca portfolio only. On the basis of that mandate, management is performed following a capital protection strategy, which guarantees a level of capital protection on maturity of 96,84%, and involves investments of approximately 10%-15% of the assets granted for management in asset instruments (mainly equities), while the remainder is managed by the use of derivative instruments. Investments amounting to approximately 166 million euro existed at the end of the first half in European equities, along with open positions in futures and options on futures on equity and bond indices.

At the end of June debt securities, inclusive of “assets transferred not derecognised” (i.e. debt securities used as the underlying assets for repurchase agreements), amounted to 1.125 million, a decrease compared to 1.875 million at the end of 2007, the result of Italian government securities maturing or sold, which were partially replaced with securities eligible for refinancing with the central bank. Securities sold and matured were used mostly to support repurchase agreement business with customers of the network banks; this activity was replaced in part with recourse to trading in repurchase agreements on the market and also with the use of intragroup securities.

57 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Debt securities also included investments in securities of the “Asset Backed Security” type (ABS – financial instruments issued as part of securitisation operations) amounting to 74 million euro (72,7 million euro at the end of December), and in other structured credit instruments amounting to 22,4 million euro (see the section “Position of the UBI Group on risks assumed with trading in structured credit products – fair value of financial instruments – trading with customers in structured derivatives products”).

As concerns equity instruments, these rose from 149,5 million euro to 279,4 million euro as a result new investments in European equities made by the Group’s asset management company (approximately 166 million euro) under the mandate granted to it.

These also include investments in equity instruments, other than those classified as companies subject to control, joint control and significant influence, made as part of merchant banking and private equity activities. At the end of June these amounted to 91,6 million euro, a decrease compared to 116,4 million euro at the end of 2007, mainly the result of the disposal of the interest held in Radici Film (with a fair value of more than 30 million euro).

Investments in OICR units (collective investment instruments) amounted to 160 million euro (564 million euro as at 31st December 2007) and consisted of hedge funds purchased before 30th June 2007. The disinvestments made during the first half were offset by purchases made using the fair value option. The following section “financial assets at fair value” may therefore be consulted for a full picture of investments in these financial instruments.

Financial liabilities held for trading (liability item 40)

Financial liabilities amounted to 795 million euro as at 30th June, compared to 865 million euro at the end of 2007 (-8,2%). They consisted of financial derivatives amounting to 728 million (+17%) and amounts due to customers amounting to 66 million (-72,6%), the latter relating to uncovered short positions for which commitments to purchase are recognised here.

Financial liabilities held for trading: composition

Changes 30.6.2008 31.12.2007 30.6.2007 (a/b) Total Total Figures in thousands of euro Listed Unlisted Listed Unlisted amount % Total (a) (b)

A. On-balance sheet liabilities 1. Due to banks ------2. Due to customers 66.500 - 66.500 242.728 - 242.728 -176.228 -72,6% 531.701 3. Debt securities ------Total A 66.500 - 66.500 242.728 - 242.728 -176.228 -72,6% 531.701

B. Derivative instruments 1. Financial derivatives 6.840 721.122 727.962 1.233 621.199 622.432 105.530 17,0% 795.838 2. Credit Derivatives - 194 194 - 47 47 147 n.s. 540 Total B 6.840 721.316 728.156 1.233 621.246 622.479 105.677 17,0% 796.378 Total (A+B) 73.340 721.316 794.656 243.961 621.246 865.207 -70.551 -8,2% 1.328.079

* * *

As concerns activities in derivative instruments, the UBI Banca Group trades in derivatives contracts both for trading and for hedging purposes and also as a service to customers.

Derivatives for hedging items in the “banking book” are designed, with regard to assets, to hedge against interest rate risk on mortgages granted to customers, while, with regard to liabilities, they are used to reduce interest rate risk on bonds issued by the Group.

58 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f As concerns trading derivatives classified within the “trading book”, however, the trading – performed under a specific management policy – is mainly in interest rate derivatives used both for pure trading purposes and for market making at the service of customers.

OTC derivative business with customers is designed to support the group with the management of financial risk related to the activity with customers and more specifically to help managing risk resulting from fluctuations in exchange rates, interest rates and commodity prices (raw materials); see the section “Position of the UBI Group on risks assumed with trading in structured credit products – fair value of financial instruments – trading with customers in structured derivatives products”.

Financial assets at fair value (asset item 30)

The item “financial assets at fair value” (asset item 30) includes financial instruments designated as such in application of the fair value option (FVO). The item includes investments in capitalisation policies. These policies were subjected to the fair value option because they are hybrid contracts containing embedded derivatives which significantly alter the cash flows otherwise generated by the contract. Units in hedge funds purchased since 1st July 2007 have also been included in this item. These financial assets are recognised at fair value through profit or loss.

Financial assets at fair value: composition

Changes 30.6.2008 31.12.2007 30.6.2007 (a/b) Total Total Figures in thousands of euro Listed Unlisted Listed Unlisted amount % Total (a) (b)

Debt securities - 665.882 665.882 - 1.175.680 1.175.680 -509.798 -43,4% 3.501.859

Units of O.I.C.R. 588.455 - 588.455 157.906 - 157.906 430.549 272,7% - (collective investment instruments) TOTAL 588.455 665.882 1.254.337 157.906 1.175.680 1.333.586 -79.249 -5,9% 3.501.859

Financial assets designated at fair value amounted a 1.254 million euro at the end of the first half, compared to 1.334 million euro in December 2007. As can be seen from the table, the decrease of 5,9% which occurred in the first half is the result of a change in the composition of the aggregate.

In fact the debt securities component, consisting entirely of capitalisation insurance certificates, fell from 1.176 million at the end of 2007 (with a nominal value of 1.030 million euro + interest capitalised and matured), to 666 million euro (570 million euro the nominal value) a decrease of 43,4%. They included a nominal amount of 520 million euro relating to UBI Banca and the remaining nominal amount of 50 million euro relating to Centrobanca.

The change is attributable to the expiry of two policies held by the Parent Bank for a nominal amount of 25 million euro and to the early reimbursement, in continuation of the disinvestment policy pursued last year, of 12 policies for a nominal amount of 435 million euro relating to certificates on which profitability is only marginal under current market conditions (8 policies for 175 million euro held by the Parent Bank and the remainder held by Centrobanca).

Additional policies were reimbursed at the beginning of July with a nominal value of 220 million euro (170 million euro relating to UBI Banca and 50 million euro to Centrobanca). Consequently, at the date of this report only three policies remained, held by the Parent Bank for a total nominal amount of 350 million euro, for which CDS (Credit Default Swap) hedge contracts existed for a nominal amount of 358 million euro (inclusive of capitalised accruals), compared to 352 million as at 31st December.

59 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

On the other hand, Units in O.I.C.R. (collective investment instruments), consisting of hedge funds purchased since 1st July 2007, almost tripled, up from 158 million euro in December 2007 to 588 million euro at the end of June. Nevertheless, for the full picture on Group investments in hedge funds, not only must those included in this accounting item be considered, but also the 160 million euro invested in hedge funds classified within financial assets held for trading reported in the previous sub-section. Hedge funds therefore amounted, at the end of the first half, to a total of 748 million euro, a growth of 3,7% compared to 721 million euro at the end of 2007.

Investments in hedge funds are regulated by a specific policy by which a detailed system of qualitative and quantitative limits is designed to guarantee an adequate degree of diversification and liquidity, to set the maximum acceptable loss and to measure the risk profile implicit in the portfolio. The section “Information on risks and hedging policies” may be consulted for further information in this respect.

The hedge fund portfolio was affected by the turbulence recorded on markets in recent months, but nevertheless the guidelines dictated by internal policy helped to guarantee diversification on several levels: in terms of the strategy for investment in a single fund (both as a percentage of the assets managed by the fund itself and in absolute terms) and for investment in a single management company. No cases of default for single hedge funds within the portfolio were recorded, although three funds suspended redemptions temporarily, as allowed for in their respective regulations (Group investment in the three funds totalled 10,5 million euro).

Available-for-sale financial assets (asset item 40)

These assets are measured at fair value with the recognition of changes in a special valuation reserve in shareholders’ equity.

It will be recalled that the comparison figures presented here have been restated to take account of the change in the method of consolidation for UBI Assicurazioni Vita, which had a negative impact on the pro-forma figures for available-for-sale financial assets as at 30th June and as at 31st December 2007 amounting to approximately 2,2 billion.

Available-for-sale financial assets: composition

31.12.2007 Changes 30.6.2007 30.6.2008 pro-forma (a/b) pro-forma Total Total Figures in thousands of euro Listed Unlisted Listed Unlisted amount % Total (a) (b)

Debt securities 1.248.111 1.606.142 2.854.253 1.194.594 1.207.829 2.402.423 451.830 18,8% 1.550.505 of which: Assets transferred not 3.204 48.408 51.612 105.953 246.363 352.316 -300.704 -85,4% 116.474 derecognised Equity instruments 580.133 117.287 697.420 871.529 126.979 998.508 -301.088 -30,2% 1.016.538 Units of O.I.C.R. 21.347 104.246 125.593 134.662 -9.069 129.968 (collective investment instruments) 25.842 108.820 -6,7% Financing - 1.446 1.446 - 1.446 1.446 - - 1.446 Impaired assets - 94 94 - 94 94 - - 192 TOTAL 1.849.591 1.829.215 3.678.806 2.091.965 1.445.168 3.537.133 141.673 4,0% 2.698.649

Available-for-sale financial assets at the end of the first half amounted to 3.679 million euro, compared to 3.537 million euro at the end of 2007. They were composed primarily of the following: - the UBI Banca AFS portfolio amounting to 2.133 million euro (2.061 million euro in December);

60 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - the Centrobanca corporate portfolio, which constitutes activity complementary to and consistent with the lending approach of that bank, amounting to approximately 480 million euro (444 million euro in December); - the IW Bank portfolio, held to stabilise that bank’s net interest income, given the particular nature of its core business, amounting to 615 million euro (646 million euro in December). - the portfolio of UBI Assicurazioni, which operates in the non-life sector, amounting to 281 million euro, unchanged compared to the investment at the end of year; - the minor portfolios of other companies in the Group.

The AFS portfolio increased by 4% (+142 million euro) in the first six months of the year from 3.537 million euro to 3.679 million euro, the result of opposing trends for debt securities and equity instruments.

Debt securities – inclusive of securities classified as “assets transferred not derecognised”, because they are used as underlying assets for repurchase agreements – amounted to 2.854 million euro compared to 2.402 million euro previously (+452 million euro).

The higher investments in debt securities are attributable to the following: - the purchase of securities eligible for refinancing with the ECB, considering the tensions that continue to exist on the interbank monetary market, to which part of the liquidity generated by disinvestments in assets held for trading and assets at fair value reported in the preceding sub-sections were channelled; - ABS type securities from INPS (national insurance institute) securitisations amounting to 130,3 million euro (59,7 million at the end of 2007) and banking securitisations amounting to 47,2 million euro (new investment during the period); see the section “Position of the UBI Group on risks assumed with trading in structured credit products – fair value of financial instruments – trading with customers in structured derivatives products”; - the investments made by UBI Partecipazioni Assicurative with the liquidity released by the disposal of a part of the equity interest held in UBI Assicurazioni Vita.

Equity instruments amounted to 697 million euro, compared to 999 million euro in December 2007. The change in the amount recorded for equity instruments is mainly attributable to the performance of equity markets and as a consequence to the reduction in the fair value of listed equity investments recognised here (shareholdings that are not classified as companies subject to control, joint control and significant influence and that are not held for merchant banking and private equity activities).

These included the investments in Intesa Sanpaolo amounting to 522,8 million euro at the end of the first half (505,3 million euro by UBI Banca and 17,5 million by Banco di Brescia) compared to 782,7 million euro as at 31st December, in the London Stock Exchange, formerly Borsa Italiana (15,7 million euro compared to 42,9 million euro as at 31st December) and in A2A (26 million euro compared to 34,7 million as at 31st December).

Unlisted equity instruments include recognition of the investment by Banco di Brescia in Hopa Spa which, after a write down of 19 million euro recognised in the financial statements for 2007 and a further 6,4 million euro written down in the first half of 2008, is now recognised at 2,7 million euro.

The investment in O.I.C.R. (collective investment instruments) units amounted to 126 million euro at the end of the first half, a modest decrease compared to the end of the year.

61 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Held-to-maturity financial assets (asset item 50)

This class of assets (held-to-maturity) includes securities which it is intended and it is possible to hold until maturity. They are recognised at amortised cost.

Held-to-maturity financial assets: composition

Changes 30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro amount %

Debt securities 1.401.857 1.254.520 147.337 11,7% 1.249.867 of which: Assets transferred and not derecognised 1.027.647 1.058.000 -30.353 -2,9% 809.006 Financing - - - - - Impaired assets - - - - - TOTAL 1.401.857 1.254.520 147.337 11,7% 1.249.867

Held-to-maturity financial assets amounted to 1.402 million euro, an increase compared to 1.255 million euro at the end of year, the result of the purchase of Government securities.

These assets consist of 1.392 million held by the Parent Bank, while the remaining assets are held by the company CBI Factor.

The investment, which consists mainly of Italian government securities, also includes, however, bonds issued by major banking counterparties, that are “Constant Maturity Swap” (CMS) indexed with variable annual coupons indexed to the 10 year swap rate and a total nominal value of 350 million euro.

62 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Position of the UBI Group on risks assumed with trading in structured credit products – fair value of financial instruments – trading with customers in structured derivative products

In its Communication No. 664875 of 17th June 2008 concerning “Instructions on disclosures to markets”, the Bank of Italy highlighted the importance of adequate and prompt reporting to markets on the risks associated with trading in structured credit products, whether performed directly of through special purpose entities or other entities not included in the consolidation. Subsequently, in a letter of 23rd July 2008, the Commissione Nazionale per le Società e la Borsa (CONSOB - Italian securities market authority) recommended the inclusion of a supplement in half year reports containing all information required for a full understanding of the risks the Bank assumes – with particular reference to structured credit products – and information on how the fair value of financial instruments is determined and on trading with the Bank’s customers in structured financial derivative instruments.

The recent turbulence on markets has in fact increased the need for financial companies to publish their own exposures in some instruments which markets now consider to be at “high risk” or which imply a greater risk than was previously considered. The uncertain and slow return to a normal condition of mutual trust between intermediaries appears partly attributable to disclosure practices which do not always meet the growing demands for information which are emerging.

The Bank of Italy and CONSOB communications just mentioned implement recommendations contained in the report “Enhancing Market and Institutional Resilience” published on 7th April 2008 by the Financial Stability Forum (FSF). The latter indicated greater disclosure to markets on exposure to financial instruments perceived as risky as one of the actions designed to re- establish trust in the resilience of markets and between intermediaries.

To summarise, banks are invited to disclose total exposure for each type of financial instrument, including positions attributable to entities that are not consolidated, with the relative amounts, before and after any hedging transactions there may be, gross and net of write downs. The types of instrument considered to be at “high risk” include collateralised debt obligations (CDOs), residential mortgage backed securities (RMBSs), commercial mortgage-backed securities (CMBSs), other special purpose entities (SPEs) and leveraged finance.

Special purpose entities (SPEs)

The involvement of the UBI Group in special purpose entities (SPEs1) concerns the two following types: - entities formed to allow the issue of “preference shares”; - traditional securitisation operations2 performed by Group member companies in accordance with Law No. 130 of 30th April 1999 (inclusive of covered bond issues).

Special purpose entities existed as at 30th June 2008 within the UBI Banca Group for the issue of “preference shares” used as innovative instruments on international capital markets.

1 Special Purpose Entities (SPE) are special companies formed to achieve a determined objective. 2 With traditional securitisations the originator sells a portfolio to a special purpose entity which issues tranches of asset-backed securities in order to purchase it. With a synthetic securitisation on the other hand, the originator purchases protection for a pool of assets by transferring the credit risk attaching to the portfolio – either fully or in part – by using credit derivatives such as CDSs (credit default swaps) and CLNs (credit-linked notes) or by means of personal guarantees.

63 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f These issues, which supervisory regulations allow to be included in the tier 1 capital of the Parent Bank, take the form of non redeemable instruments with a fixed rate annual coupon for the first ten years and they have particularly junior levels of subordination. The preference shares included in the UBI tier 1 capital amounted to 570 million and they were issued by a number of the banks which formed the Group prior to the merger. These special purpose entities, which in accordance with IFRS fall within the scope of consolidation of the annual consolidated financial statements of the Group are as follows:

BPB Funding Llc (100% controlled) BPB Capital Trust (100% controlled by BPB Funding Llc) Banca Lombarda Preferred Capital Company Llc (100% controlled), Banca Lombarda Preferred Security Trust (100% controlled), BPCI Funding Llc (100% controlled), BPCI Capital Trust (100% controlled by BPCI Funding Llc).

Securitisations form part of a strategic policy to expand lending on the one hand by freeing up at the same time part of the supervisory capital relating to the amounts transferred, while on the other hand they constitute an important medium-to-long-term funding instrument. The underlying assets securitised consist of performing assets (mortgage loans and leasing contracts) belonging to the network banks and other Group member companies. The list of SPEs3 used for the securitisations in which the Group is involved is at follows:

Orio Finance Nr. 1 Plc, Orio Finance Nr. 2 Plc, Orio Finance Nr. 3 Plc, Albenza Srl, Albenza 2 Srl, Albenza 3 Srl, Lombarda Lease Finance 2 Srl, Lombarda Lease Finance 3 Srl, Lombarda Lease Finance 4 Srl, Lombarda Mortgage Finance 1 Srl, Sintonia Finance Srl, UBI Finance Srl, 24-7 Finance Srl.

The special purpose entities listed above are included in the consolidated accounts because these companies are in reality controlled, since their assets and liabilities were originated by Group member companies. As concerns Sintonia Finance, given that the securitisation was multi-originator, only those assets and liabilities relating to the operation originated by Centrobanca are consolidated.

The securitisations concerning the SPEs, UBI Finance Srl and 24-7 Finance Srl, were commenced during the first half that has just finished and form part of a broader strategy designed to diversify the types of funding employed by the Group. More specifically, UBI Finance was formed to purchase loans from banks as part of operations to issue covered bonds, in accordance with Art.7 bis of Law No.130 of 30th April 1999. As at 30th June 2008, this entity had not yet purchased any loans from the network banks of Group. The SPE 24-7 Finance was formed as part of a securitisation of performing residential mortgages and salary backed loans granted by the originator B@nca 24-7, with the objective of using the senior tranches as collateral for refinancing with the ECB. Only the transfer of residential mortgages had been performed as at 30th June 2008.

In this respect, the exposures present in the UBI Group relate solely to the special purpose entities formed for the securitisations mentioned and they all fall within the scope of the consolidation. As reported in detail in the table, ordinary lines of liquidity have been put in place, granted by the Parent Bank to the special purpose entities Orio Finance Nr.1 Plc, Orio Finance Nr.2 Plc and Orio

3 Part E of the Notes to the Consolidated Financial Statements as at 31/12/2007 may be consulted for a detailed description of the Group’s special purpose entities and securitisations.

64 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Finance Nr.3 Plc for at total of 17,3 million euro, but never drawn on. Ordinary lines of liquidity have also been granted by B@nca 24-7 to the entity 24-7 Finance for a total of 35,1 million euro, which have been drawn on entirely. Finally, exposures in derivatives exist (by the Parent Bank, Banco di Brescia, Centrobanca and SBS leasing with regard to the special purpose entities created for the securitisation of their assets) for a mark-to-market total of –2,6 million euro.

Two financial derivatives were purchased by the entity 24-7 Finance from a major investment bank as part of the B@nca 24-7 securitisation, with an identical back-to-back contract purchased by the Parent Bank from the same counterparty. The fair value of those derivatives at consolidated level amounted to -1,7 million euro.

No exposures exist to special purpose entities or other conduit operations with underlying securities or investments linked to United States subprime and Alt-A loans.

Exposures to SPEs

Classifications Amount as at 30/06/2008 Amount as at 31/12/2007 Hedged Bank / Gross of Net of by techniques to Gross of Net of Group company Entity Type of exposure Portfolio impairment Impairment reduce impairment Impairment counterparty/credit risk

UBI Banca Ordinary lines of iquidity - 17,3 17,3 - 17,3 17,3 UBI Banca ORIO1 Financial derivatives Trading 0,0 0,0 - -0,1 -0,1 UBI Banca ORIO2 Financial derivatives Trading 0,1 0,1 - 0,1 0,1 UBI Banca ORIO2 Financial derivatives Trading 0,0 0,0 - 0,0 0,0 UBI Banca ORIO3 Financial derivatives Trading -0,3 -0,3 - -0,3 -0,3 Banco di Brescia LOMB MORTAGE Financial derivatives Trading 0,2 0,2 - 0,3 0,3 Banco di Brescia LOMB MORTAGE Financial derivatives Trading 0,4 0,4 - 0,3 0,3 Centrobanca SINTONIA Financial derivatives Trading -0,9 -0,9 - -0,3 -0,3 SBS Leasing LLF2 Financial derivatives Trading -0,8 -0,8 - -1,3 -1,3 SBS Leasing LLF3 Financial derivatives Trading -0,2 -0,2 - -0,4 -0,4 SBS Leasing LLF4 Financial derivatives Trading -0,3 -0,3 - 0,1 0,1 SBS Leasing LLF4 Financial derivatives Trading -0,6 -0,6 - -0,6 -0,6 SBS Leasing LLF4 Financial derivatives Trading 0,0 0,0 - 0,0 0,0 SBS Leasing LLF4 Financial derivatives Trading -0,1 -0,1 - 0,0 0,0 SBS Leasing LLF4 Financial derivatives Trading -0,1 -0,1 - 0,0 0,0 Banca 24-7 24-7 Finance Ordinary lines of iquidity - 35,1 35,1 - - -

(millions of euro)

The total assets of SPEs relating to securitisations amount to approximately 4.259 million euro. Details by asset class are given in the table below:

SPE underlying assets

Classification of underlying assets of the securitisation Amount as at 30/06/2008 Amount as at 31/12/2007

Valuation Gross of Net of Gross of Net of Entity Total assets Class of underlying asset Accounting Criteria impairment Impairment impairment Impairment classification adopted

Albenza Srl 58,6 Mortgage loans L&R AC 51,1 51,0 59,1 59,0 Albenza 2 Srl 76,6 Mortgage loans L&R AC 72,1 72,0 81,4 81,3 Albenza 3 Srl 98,6 Mortgage loans L&R AC 88,8 88,7 104,3 104,1 Mortgage Finance 1 177,4 Mortgage loans L&R AC 150,3 150,3 172,0 172,0 Sintonia Finance 56,6 Mortgage loans L&R AC 41,6 41,5 48,0 47,9 24-7 Finance 2.544,0 Mortgage loans L&R AC 2597,3 (*) 2591,7 (*) - - Lease Finance 2 102,8 Leasing L&R AC 81,3 81,3 100,3 100,3 Lease Finance 3 146,2 Leasing L&R AC 120,8 120,8 144,0 144,0 Lease Finance 4 749,2 Leasing L&R AC 632,5 631,9 736,5 735,6 Orio Finance 1 67,4 RMBS Notes (ALBENZA Srl) L&R AC 53,4 53,4 61,7 61,7 Orio Finance 2 87,5 RMBS Notes (ALBENZA 2 Srl) L&R AC 75,1 75,1 84,5 84,5 Orio Finance 3 94,6 RMBS Notes (ALBENZA 3 Srl) L&R AC 90,3 90,3 106,0 106,0 UBI Finance ------Total impaired assets mortgages 17,0 14,2 18,1 16,2 Total impaired assets leasing 20,6 16,6 34,3 30,6

TOTAL 4259,3 4092,2 4078,9 1750,3 1743,2 (millions of euro) (*) assets transferred not derecognised on the books of Banca 24-7, including transaction expenses of approximately 88 million euro.

Exposure in ABS, CDO, CMBS and other structured credit products

As at 30th June 2008, the UBI Banca Group held direct investments in ABS instruments amounting to approximately 274 million euro, net of repurchases of tranches of its own securitisations, consisting mainly of the following:

65 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - a collateralised bond obligation (“CBO Investment Jersey Ltd 1999-2013”, classified within financial assets held for trading), amounting to 67,7 million euro, with the underlying assets consisting of European government securities; - ABS securities totalling approximately 5,9 million (recognised within financial assets held for trading), belonging to the subsidiary UBI Banca International Sa, with underlying assets mainly of European origin; - other structured credit products totalling 22,4 million (classified within financial assets held for trading, including 4,8 million held in portfolio by UBI Banca International Sa), with a high credit rating; - ABS securities totalling 130,3 million (recognised within available-for-sale financial assets) relating to senior tranches of INPS (national insurance institute) securitisations (amounting to 59,7 million euro as at 31st December 2007); - RMBS securities amounting to 47,2 million euro (recognised within available-for-sale financial assets) and relating to the senior tranches of the residential mortgage securitisations of a major Italian banking group (a new investment made during the period).

ABS securities recognised within available-for-sale financial assets are eligible for refinancing with the European Central Bank. No direct investment exists in securities backed by commercial mortgages (CMBS).

The table below summarises direct exposures of the Group in ABS instruments as at 30th June 2008 and compares them with the positions held as at 31st December 2007.

Direct exposure in ABS

Classifications Amount as at 30/06/2008 Amount as at 31/12/2007 Hedged Counterparty Accounting Gross of Net of by techniques to Gross of Net of relationship Type of exposure Rating Seniority classification impairment Impairment reduce impairment Impairment counterparty/credit risk

investitor ABS HFT 5,9 5,9 no 5,4 5,4 investitor ABS AAA Senior AFS 130,3 130,3 no 59,5 59,7 investitor RMBS AAA Senior AFS 48,1 47,2 no - - investitor CBO HFT 67,6 67,7 no 67,3 67,4 investitor Other structured products HFT 22,3 22,4 no 22,9 22,2

TOTAL 274,2 273,5 155,1 154,7

(millions of euro)

None of the positions listed contained underlying assets linked to subprime or Alt-A loans.

Investments in own securitisations, eliminated when consolidating the accounts, total 2.594,8 million euro and consist of ABS securities amounting to 2.542,4 million euro (including 2.504,7 million euro relating to the B@nca 24-7 securitisation and the remaining 37,7 million euro relating to the Lombarda Mortgage Finance, Sintonia and Lombarda Lease Finance 2 and 4 securitisations) and CDOs amounting to 52,4 million euro (Orio Finance). In detail:

Exposure in ABS - Repurchases

Classifications Amount as at 30/06/2008 Amount as at 31/12/2007

Bank / securitisation Type of Accounting Net of Net of Group companies reference Exposure Rating Seniority classification Impairment Impairment

Banco BS Lombarda Mortgage Finance ABS - Junior L&R 8,5 8,5 Centrobanca Sintonia ABS - Junior HFT 7,7 9,9 Centrobanca Lombarda Lease Finance 2 ABS AAA Senior AFS 0,5 0,7 SBS Leasing Lombarda Lease Finance 4 ABS - Junior L&R 21,0 21,0 UBI Banca Orio - Albenza CDO - Junior HFT 52,4 52,8 Banca 24-7 24-7 Finance ABS AAA Senior (*) 2.279,3 - Banca 24-7 24-7 Finance ABS - Junior (*) 225,4 -

TOTAL 2.594,8 92,8 (millions of euro)

(*) Securities not recognised in the financial statements of Banca 24-7 because, in compliance with IFRS, derecognition of the underlying assets did not occur.

66 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f In addition to the direct exposures, hedge funds or funds of hedge funds were identified among the assets present in Group portfolios with exposures to structured credit products of the CDO and CMBS type. The overall investment as at 30th June 2008 amounted to approximately 191 million euro (net of impairment losses/write-backs) with contained percentages of exposuree (three hedge funds out of a total of 19 had a percentage of exposure greater than 4%). Total indirect exposure to CDOs and CMBSs amounted to approximately 3,8 million euro. Net gains/losses attributable to structured credit products classified as held for trading are recognised within item 80 of the income statement ‘Net profit (loss) from trading’ and they were of negligible amounts to 30th June 2008, (-1,5 million, compared to -1,8 million for 2007). As concerns the valuation effect for structured products classified within available-for-sale financial assets (AFS), the reserve in equity was debited – net of the tax effect – by approximately 0,6 million euro.

Other subprime and Alt-A

Indirect exposures exist within the UBI Banca Group to subprime and Alt-A mortgages that are contained in hedge funds or funds of hedge funds held by the Parent Bank. As at 30th June 2008, the total value of these funds amounted to 137,5 million euro (net of impairment losses/write-backs) and the percentage exposures to subprime/Alt-A loans were contained (two hedge funds out of 18 have a percentage exposure of greater than 10%). Total indirect exposure to subprime and Alt-A loans amounts to approximately 3,3 million euro.

Exposures to monoline insurers

Indirect exposures to monoline insurance companies exist again in hedge funds or funds of hedge funds held by UBI Banca. The percentages of exposure are modest with an overall position as at 30th June 2008 amounting to 2,3 million euro (3,4 million as at 31st December 2007). As on the other hand concerns insurances policies to protect residential mortgage loans – for the part exceeding 80% of mortgages –, B@nca 24-7 has an exposure of 71,9 million euro to a monoline insurance company (70 million euro as at 31st December 2007).

Leveraged Finance

The term leveraged finance is used in the UBI Group to refer to finance provided for a company or an initiative which has debt that is considered higher than normal on the market and is therefore considered a higher risk. Usually this finance is used for specific acquisition purposes (e.g. the acquisition of a company by other companies – either directly or through vehicles/funds – owned by internal (buy-in) or external (buy-out) management teams), characterised by “non investment grade” ratings (less than BB) and/or by remuneration that is higher than normal market levels.

Structured finance operations are centralised in Centrobanca in accordance with the business model of the Group. The organisational model is implemented operationally by a dedicated unit in Centrobanca and a specific policy is pursued to combine the achievement of budget targets in terms of business volumes and profits with appropriate management of the attached risks. Briefly, operations are based on a maximum investment ceiling, reviewed annually, allocated on the basis of rating classes for operations according to predefined maximum percentages. The system of limits is calculated to seek greater diversification as a function of the higher credit risk with particular attention paid to the concentration of risk on a single counterparty, both within Centrobanca and cumulatively within the UBI Group (the “group of groups” concept). Appropriate guidelines and adequate controls are employed with regard to sector concentration, which must comply with Group credit policies governing the duration and repayment schedules for the transactions.

67 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f On and off-balance sheet exposure for leveraged finance by Centrobanca as at 30th June 2008 is detailed in the table below. That activity accounts for approximately 16% of total lending by Centrobanca.

On-balance sheet Off-balance sheet gross exposure to customers gross exposure to customers authorised drawn impairment authorised used impairment 1.317,05 1.103,87 -2,02 145,01 90,71 -0,01 (amounts in millions of euro)

The graphs below show the distribution of leveraged exposures by sector and geographical area.

EXPOSURE BY SECTOR Financial Commerce and sector services 7% 48%

manufacturing

Construction 41% 4%

EXPOSURE BY GEOGRAPHICAL AREA

USA AND CANADA 2% EUROPE 39%

ITALY 59%

Residual exposures exist within the UBI Banca Group amounting to approximately 380 million euro relating to leveraged finance operations performed by network banks. These transactions were performed before this business was centralised in Centrobanca.

68 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Disclosures on the fair value of financial instruments

FAIR VALUE HIERARCHY

Securities As concern assets recognised at fair value, securities listed on active markets account for 66%, 22% are valued using the latest NAV available (hedge funds and private equity funds), 8% are valued at historical costs (capitalisation certificates which contain a put option exercisable by the policyholder at any time at a price equal to the historical cost incurred) and the value of the remaining 3% is measured using internal models (which perform valuation using market inputs).

Derivatives Almost all the derivative instruments recognised within financial assets and liabilities held for trading consist of over the counter derivatives. These instruments are valued using internal models which employ market inputs. The remaining derivative instruments recognised within trading portfolios are listed on active markets.

No changes have occurred in the methods for valuing securities and derivatives with respect to 31st December 2007.

Information on the valuation models used The target instrument used for pricing securities and derivatives in the UBI Group is the software application Mxg2000 by Murex. This software takes account of all market factors in measuring the value of financial instruments. The majority of the market data is acquired through the information provider Reuters, partly in real time (i.e. prices, yield curves and exchange rates) and partly at preset intervals (ATM volatility for swaptions and ATM volatility and smile curves for caps and floors). The application is also fed “on demand” with a series of market parameters supplied by the provider Bloomberg: correlations, dividend yields, index and forex volatility. Fair value is calculated daily as follows: y the market parameters acquired in real time by Mxg2000 (prices, yield curves and exchange rates) are crystallised at 4.45 p.m. and used as reference data for calculating the mark to market. The last update of the day for the volatilities of swaptions and caps/floors (and the other market data acquired on demand if necessary) is performed at 4.45 p.m.;

y at the end of the day closure (which occurs at 9.00 p.m.) a series of software procedures are performed which extract various information from Mxg2000 including the reference mark-to-market for the day. No mark-to-model valuation techniques are currently used for the valuation of assets consisting of securities and derivatives.

Securities The pricing of unlisted securities is currently calculated using the software application Risk Watch by Algorithmics, before the full migration of Group portfolios onto the Mxg2000 Front Office target system takes place. These are bonds for which the future cash flows are discounted to present values using interest rates which take into account the specific nature of the issuer (rating, business sector and the currency in which the instrument is denominated).

Derivatives Input data is fed into Mxg2000 on all OTC interest rate and exchange rate derivative instruments and on derivative instruments to hedge bonds and ALM (with interest rate, equity and exchange rate as the underlying). Values are measured for all contracts which can be priced using closed formula models. In detail, the main pricing models used in Mxg2000 for OTC derivatives are: Black Yield, Black Fwd, Black Swap Yield, Cox Fwd, Trinomial, Lnormal and CMS Convexity Analytical.

69 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Derivative instruments that are not managed in Murex, used to hedge structured bonds, are valued using internal models (stochastic models with MonteCarlo simulations). The section on market risks may be consulted for the results of sensitivity analyses and stress tests.

Financial derivative instruments for trading with customers

Business in trading derivatives, market and counterparty risks assumed

OTC derivatives traded with customers

In quantitative terms, the analyses performed each quarter for internal monitoring purposes showed that the risks assumed by customers were generally low and they outlined a conservative profile for UBI Group business in OTC derivatives with customers.

An update of the qualitative analysis, performed as at 30th June 2008, led to similar results to those of previous investigations as follows: - the notional amount for existing contracts, totalling 7,5 billion euro, consisted of 7,1 billion of interest rate derivatives and 0,4 billion of currency derivatives. - transactions in hedging derivatives (products in classes one and two of the policy) account for approximately 83% of the notional amount traded for interest rate derivatives and 81% of the notional amount for currency derivatives; - the net total mark-to-market (interest rate, currency and commodity derivatives) amounted to approximately -36 million euro. Those contracts with a negative mark-to-market for customers were valued at approximately -137 million (1,82% of the notional amount traded), 67% of which relates to transactions attributable to class 3 of the policy. - it was also found that OTC interest rate derivative contracts traded with private individual retail customers have a total positive mark-to-market of approximately 9 million euro (a negative mark-to-market of -1,5 million euro approx).

The “Policy for the sale of OTC derivative instruments to customers”, approved in final form by the Management Board on 2nd October 2007 and submitted to the Supervisory Board on 10th October, confirmed the prudential policies pursued in the past, as follows: - customer segmentation into three classes, in compliance wth MifFID recommendations: private individual retail, non private individual retail and professional and qualified counterparties; - reasons for use and characteristics of the OTC derivatives supplied dependent on the customer to whom they are sold; the reason for use is hedging and transactions with a speculative content must be of a residual/exceptional nature and must be performed with professional and qualified counterparties only; - association of classes of customer with classes of products; - the use of one line of credit for each single transaction (for business with “private individual retail” customers and for commodity derivatives) for credit and counter party risk or of a line of credit with a maximum limit (for business with “non private individual retail” and “professional and qualified” customers and for currency and exchange rate derivatives). A credit equivalent is calculated for each individual product in order to estimate and monitor the potential risk incurred by the Bank; - regulations for restructuring transactions, which underline the exceptional nature which must characterise this activity; - a co-ordinated system of controls.

The process of standardising practices to comply with the contents of the policy continued in the first half of 2008 in order to: - standardise the commercial policy of the Group on the basis of the principles of proper operational conduct, transparency, product quality and protection of customers in compliance with the provisions of the MiFID directive; - adequately manage risks of a credit and operational/reputation nature attached to the sale of OTC derivative instruments;

70 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - deal with matters requiring attention that emerged from the self assessment of business in OTC derivatives requested by the Bank of Italy in September 2007

More specifically, the contents of the policy have already been in operation throughout the Group since 1st November 2007, with regard to the procedures for sales to customers and therefore the classification of customers into private individual retail, non private individual retail and professional and qualified customers, and the relative associated products that may be sold to them.

Furthermore, specialist training programmes were defined, structured and implemented in the first quarter of 2008 on the analysis of the instruments sold to the different categories of customers and on the risks connected with them, in which customer account managers participated.

In the middle of April 2008, a general contract was introduced for transactions in OTC financial derivative instruments. This contract, which is supplementary to and combined with the trading contract for the trading, placement, collection and transmission of orders and is standard for all the network banks of the UBI Group, is designed to regulate the advisory service (details are given in the next paragraph) and standardise the paperwork. It complies with Group policy principles and with the MiFID directive with the objective of reducing legal and reputation risks attaching to business in OTC derivatives.

Again in the middle of April 2008, the Group also extended the advisory service to all customers in two phases with a contingency solution (Phase 1) and a subsequent structured solution (Phase 2). Given their complexity, the service is also combined with trading in OTC derivative instruments for all the Group’s network banks, with the exception of Banca Popolare di Bergamo and Centrobanca, which will continue to operate under an “appropriateness” regime (supply of products assuming a trading service is being provided) until migration is performed.

Notional amount and composition of trading volumes in plain vanilla and structured derivative instruments and the proportion attributable to the customers exposed to the greatest risk.

Data as at 30th June OTC INTEREST RATE DERIVATIVES: DETAILS OF INSTRUMENT TYPE AND CLASS OF CUSTOMER 2008

Policy product Number of Type of instrument Policy customer class Notional MtM of which negative MtM class transactions

1 Purchase of caps 3: Professional and qualified 48 154.868.915 2.807.300 - 2: Non private individual retail 129 126.116.201 2.048.428 - 1: Private individual retail 2 818.802 14.529 - Purchase of caps Total 179 281.803.918 4.870.257 -

Purchase of floors 3: Professional and qualified 1 5.000.000 16.833 - 2: Non private individual retail 2 6.267.344 -138.852 -138.856 Purchase of floors Total 3 11.267.344 -122.019 -138.856

Capped swaps 3: Professional and qualified 74 252.361.949 -3.442.085 -5.513.960 2: Non private individual retail 1.344 647.586.821 -10.651.235 -14.914.675 1: Private individual retail 7.294 771.861.469 6.748.794 -1.027.416 Capped swaps Total 8.712 1.671.810.240 -7.344.526 -21.456.051

IRS Interest Rate Swap 3: Professional and qualified 219 953.702.254 19.831.951 -1.434.031 2: Non private individual retail 968 2.182.599.355 43.375.374 -1.660.934 1: Private individual retail 1642 221.127.263 2.817.274 -40.281 IRS Interest rate swaps Total 2.829 3.357.428.872 66.024.598 -3.135.246

Total Class 1: hedging derivatives 11.723 5.322.310.374 63.428.309 -24.730.153

Class 1: % of Group total 95% 74,9% - 22%

71 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Policy product Number of Type of instrument Policy customer class Notional MtM of which negative MtM class transactions

2 Purchase of caps (including KI/KO) 3: Professional and qualified 4 7.483.612 -152.143 -169.512 2: Non private individual retail 25 41.573.085 -642.388 -736.606 Purchase of caps (including KI/KO) 29 49.056.697 -794.531 -906.118

Purchase of collars 3: Professional and qualified 1 13.568.750 291.285 - 2: Non private individual retail 9 28.313.293 -281.682 -605.591 Purchase of collars Total 10 41.882.043 9.603 -605.591

Purchase of collars (including KI/KO) 3: Professional and qualified 4 27.899.483 366.754 -39.258 2: Non private individual retail 5 10.418.974 40.737 -23.814 Purchase of collars (incl. KI/KO) Total 9 38.318.457 407.490 -63.072

IRS Cap spreads 2: Non private individual retail 1 455.922 10.612 - IRS Cap spreads Total 1 455.922 10.612 -

IRS Convertible 3: Professional and qualified 15 142.106.530 -1.677.565 -1.803.165 2: Non private individual retail 72 112.398.257 -131.229 -499.909 IRS Convertible Total 87 254.504.787 -1.808.794 -2.303.073

IRS Step Up 3: Professional and qualified 19 52.293.933 454.068 -208.117 2: Non private individual retail 81 124.971.159 1.298.852 -709.747 IRS Step Up Total 100 177.265.092 1.752.920 -917.864

Total Class 2: hedging derivatives with possible 236 561.482.999 -422.699 -4.795.718 exposure to contained financial risks

Class 2: % of Group total 2% 7,9% - 4% 3a IRS Convertible Cms 2: Non private individual retail 2 1.000.000 -17.000 -17.000 IRS Convertible Cms Total 2 1.000.000 -17.000 -17.000

IRS Range 3: Professional and qualified 68 272.522.249 -22.104.403 -22.104.403 2: Non private individual retail 250 383.679.317 -29.513.424 -29.594.147 1: Private individual retail 1 500.000 -31.495 -31.495 IRS Range Totale 319 656.701.566 -51.649.322 -51.730.045

IRS Stability 2: Non private individual retail 3 1.900.000 11.148 -3.544 IRS Stability Total 3 1.900.000 11.148 -3.544

IRS Dynamic stability 3: Professional and qualified 5 358.860.204 -17.536.088 -17.536.088 2: Non private individual retail 9 7.956.878 -383.327 -383.327 IRS Dynamic stability Total 14 366.817.082 -17.919.415 -17.919.415

IRS Step Up CMS 2: Non private individual retail 1 500.000 -4.047 -4.047 IRS Step Up CMS Total 1 500.000 -4.047 -4.047

Memory floors ¹ 2: Non private individual retail 1 4.000.000 -17.465 -17.465 Memory floors Total 1 4.000.000 -17.465 -17.465

Total Class 3a: partial hedging derivatives with pre-established maximum loss 340 1.030.918.648 -69.596.101 -69.691.517

3b Delta final swaps 3: Professional and qualified 1 5.500.000 47.880 - Delta final swaps Total 1 5.500.000 47.880 -

Double euro swaps 3: Professional and qualified 1 15.000.000 31.591 - 2: Non private individual retail 1 250.000 -6.125 -6.125 Double euro swaps Total 2 15.250.000 25.466 -6.125

Double quanto swaps 3: Professional and qualified 3 17.067.273 -156.360 -166.651 2: Non private individual retail 9 5.934.370 15.551 -5.369 Double quanto swaps Total 12 23.001.643 -140.810 -172.020

Double Swiss swaps 3: Professional and qualified 4 5.000.000 222 -15.331 2: Non private individual retail 16 28.252.380 -564.425 -721.195 Double Swiss swaps Total 20 33.252.380 -564.203 -736.525

Gap floater swaps 3: Professional and qualified 1 1.241.547 -25.897 -25.897 2: Non private individual retail 8 12.990.325 -78.154 -195.371 Gap floater swaps Total 9 14.231.872 -104.051 -221.268

IRS Cumulative ² 2: Non private individual retail 1 4.000.000 -4.070.385 -4.070.385 IRS Cumulative total 1 4.000.000 -4.070.385 -4.070.385

IRS Range Stability 3: Professional and qualified 6 19.574.525 -2.648.179 -2.648.179 2: Non private individual retail 36 48.820.000 -6.899.584 -6.899.584 1: Private individual retail 1 2.600.000 -433.496 -433.496 IRS Range Stability Total 43 70.994.525 -9.981.259 -9.981.259

Quanto trigger swaps 3: Professional and qualified 1 3.000.000 -27.839 -27.839 2: Non private individual retail 1 300.000 854 - Quanto trigger swaps Total 2 3.300.000 -26.985 -27.839

Quanto trigger swaps Cms 2: Non private individual retail 4 2.500.000 -11.478 -11.478 1: Private individual retail 1 1.200.000 -6.137 -6.137 Quanto trigger swaps Cms Total 5 3.700.000 -17.615 -17.615

Spread swaps 3: Professional and qualified 3 14.000.000 -87.546 -107.875 Spread swaps Total 3 14.000.000 -87.546 -107.875

Total Class 3b: speculative derivatives with unquantifiable maximum loss 98 187.230.420 -14.919.507 -15.340.911

Total Class 3: derivatives not for hedging 438 1.218.149.067 -84.515.608 -85.032.427 Class 3: % of Group total 3,5% 17,2% - 74%

TOTAL UBI GROUP 12.397 7.101.942.440 -21.509.998 -114.558.298

¹ Previous transactions not assigned to policy products: expiry 28/02/2012 ² Previous transactions not assigned to policy products: expiry IRS 04/10/2010.

72 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f OTC CURRENCY DERIVATIVES : DETAILS OF INSTRUMENT TYPE AND CLASS OF CUSTOMER Data as at 30th June 2008

Policy product Number of Type of instrument Policy customer class Notional MtM of which negative MtM class transactions

2 Collars 3: Professional and qualified 2 5.004.488 24.895 -28.230 2: Non private individual retail 2 675.676 -25.491 -25.491 Collars Total 4 5.680.164 -595 -53.721

Forward synthetic 3: Professional and qualified 37 36.404.988 2.163.317 -609.235 2: Non private individual retail 37 10.511.719 -646.517 -684.883 Forward synthetic Total 74 46.916.707 1.516.800 -1.294.118

Knock in collars 3: Professional and qualified 13 2.825.165 -505.884 -509.829 2: Non private individual retail 3 572.519 -92.846 -92.846 Knock in collars Total 16 3.397.684 -598.731 -602.675

Knock In Forward 3: Professional and qualified 180 93.693.399 -5.496.146 -5.877.732 2: Non private individual retail 86 33.329.468 -2.895.739 -3.505.513 Knock In Forward Total 266 127.022.867 -8.391.885 -9.383.245

Options purhased by customer 3: Professional and qualified 35 44.432.621 732.895 -69.171 2: Non private individual retail 31 9.414.510 62.515 -53.183 Options purhased by customer Total 66 53.847.131 795.410 -122.355

Partecipating Forward 2: Non private individual retail 1 377.358 -3.142 -3.142 Partecipating Forward 1 377.358 -3.142 -3.142

Plafond 3: Professional and qualified 51 35.266.603 -1.130.268 -1.206.415 2: Non private individual retail 216 46.405.909 -3.277.271 -3.283.433 Maximum of Total 267 81.672.512 -4.407.539 -4.489.848

Total Class 2: hedging derivatives with possible 694 318.914.424 -11.089.682 -15.949.103 exposure to contained financial risks

Class 2: % of Group total 84% 81% 65% 72%

3 Forward Plus 3: Professional and qualified 6 4.008.614 38.532 -29.225 2: Non private individual retail 3 2.036.098 -305.751 -305.751 Forward Plus Total 9 6.044.712 -267.219 -334.976

Knock Out Forward 3: Professional and qualified 16 5.890.828 -748.322 -748.322 2: Non private individual retail 16 3.942.410 -112.378 -129.016 Knock Out Forward Total 32 9.833.238 -860.700 -877.338

Knock Out Knock In Forward 3: Professional and qualified 31 17.189.378 -1.331.597 -1.331.906 2: Non private individual retail 2 307.692 -53.085 -53.085 Knock Out Knock In Forward Total 33 17.497.071 -1.384.682 -1.384.991

Options sold by customer 3: Professional and qualified 24 28.494.373 -1.706.168 -1.706.168 2: Non private individual retail 32 10.781.945 -1.754.610 -1.756.510 Options sold by customer Total 56 39.276.318 -3.460.778 -3.462.678

Total Class 3: derivatives not for hedging 130 72.651.339 -5.973.378 -6.059.982

Class 3: % of Group total 16% 19% 35% 28%

TOTAL UBI GROUP 824 391.565.763 -17.063.060 -22.009.085

OTC COMMODITY DERIVATIVES: DETAILS OF INSTRUMENT TYPE AND CLASS OF CUSTOMER Data as at 30th june 2008

Policy product Number of of which negative Type of instrument Policy customer class Notional MTM class transactions MtM

2 Swaps 2: Non private individual retail 1 608.982 -66.447 -66.447 Swaps Total 1 608.982 -66.447 -66.447

Forward transactions 2: Non private individual retail 7 13.929.523 2.579.380 -75.596 Forward transactions total 7 13.929.523 2.579.380 -75.596

Total Class 2: hedging derivatives with possible exposure to contained financial risks 8 14.538.505 2.512.933 -142.043

TOTAL UBI GROUP 8 14.538.505 2.512.933 -142.043

Total UBI GROUP 13.229 7.508.046.708 -36.060.126 -136.709.406

73 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f OTC DERIVATIVES: FIRST 5 COUNTERPARTIES FOR NETWORK BANKS Data as at 30th june 2008 Total negative MTM for the network % of negative MtM of first 5 Counterparties out of total negative MTM Network bank bank for the network bank Banco di Brescia -58.988.432 43,11% of which: 3: Professional and qualified 36,19% 2: Non private individual retail 6,92% 1: Private individual retail - Banca Popolare di Ancona -7.407.717 51,31% of which: 3: Professional and qualified 34,81% 2: Non private individual retail 16,50% 1: Private individual retail - Banca Regionale Europea -31.502.077 25,06% of which: 3: Professional and qualified 21,47% 2: Non private individual retail 3,59% 1: Private individual retail - Banca Carime -1.787.433 98,63% of which: 3: Professional and qualified 94,18% 2: Non private individual retail 4,46% 1: Private individual retail - Banco di San Giorgio -14.042.178 35,24% of which: 3: Professional and qualified 17,13% 2: Non private individual retail 18,11% 1: Private individual retail - Banca Popolare di Bergamo -16.026.780 21,72% of which: 3: Professional and qualified 7,80% 2: Non private individual retail 13,92% 1: Private individual retail - Centrobanca -1.566.145 98,45% of which: 3: Professional and qualified - 2: Non private individual retail 98,45% 1: Private individual retail - Banca di Valle Camonica -3.963.974 51,82% of which: 3: Professional and qualified 24,97% 2: Non private individual retail 26,85% 1: Private individual retail - Banca Popolare Commercio & Industria -1.424.154 56,23% of which: 3: Professional and qualified - 2: Non private individual retail 56,23% 1: Private individual retail - UBI Banca Private Investment ¹ -516 100,00% of which: 3: Professional and qualified - 2: Non private individual retail 100,00% 1: Private individual retail - ¹ Only 2 counterparties with negative MtM.

Description of the methods used to calculate the fair value of derivative financial instruments traded A description of the methods used to calculate the fair value of derivative financial instruments traded is given in the preceding sub-section “Disclosures on the fair value of financial instruments”, which may be consulted.

Methods for calculating and the amount of impairment losses for counterparty risk (customers) on derivative products The measurement of the value of OTC derivatives at full fair value is currently performed by outsourcing the work to an external company (MedCaps), which uses risk free curves to which it adds spreads calculated on the basis of the PD levels characteristic of the internal rating classes. LGD is set at 34% (average level of portfolio loss) considering that the PDs used are calibrated on a broad definition of default (consistent with the provisions of Basel 2) which includes past due, impaired and non performing positions.

74 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Information on risks and hedging policies

The key principles on which Group risk analysis and management are based for the pursuit of an increasingly more knowledgeable and efficient allocation of economic and supervisory capital are as follows: - rigorous containment of financial and credit risks and strong management of all types of risk; - the use of sustainable value creation logic in defining the propensity to risk and the allocation of capital; - definition of the Group’s propensity to risk with reference to specific types of risk and/or specific activities in a set of policy regulations for the Group and for the single entities within it.

One particularly important objective of the UBI Group, set forth in the 2007-2010 Integration Business Plan, is the “integrated” continuation of the process already set in motion individually in the banks that formed the Group prior to the merger to comply with the regulations of the Basel 2 New Accord on Capital (Bank of Italy Circular No. 263/2006). In this respect, UBI has started a Basel 2 project with the medium-to-long term aims of achieving recognition of the use of internal models for the purposes of estimating minimum capital requirements and of implementing the second and third pillars of the New Accord on Capital just mentioned.

1.1 Credit risk

Qualitative information

The organisational model on which the units which manage credit activity is based is as follows: • Parent Bank units for centralised monitoring and co-ordination; • the General Managements of banks and subsidiary undertakings, to which the following report: 9 credit departments 9 local loan approval centres 9 branches 9 corporate banking units (CBUs) 9 private banking units (PBUs).

The characteristics of that organisational model not only ensure strong standardisation between the units of the Parent Bank and the corresponding units in the network banks, but they also provide a clear separation between commercial and credit functions. Loan granting activity is also differentiated by customer segment (retail/private and corporate) and specialised by the status of the loan: “performing” (managed by retail and corporate lending units) and problem (managed by non performing loan units). The Parent Bank oversees policy management, overall portfolio monitoring, the refinement of assessment systems, problem loan management and compliance with regulations through the Credit Area, the Strategy and Control Area, the Debt Collection Area and the Parent Bank and Group Audit functions.

The migration of the credit monitoring systems and of the internal rating systems onto their respective target systems was also performed in the first six months of 2008 in conjunction with the migration of the first two former BPU network banks (Banca Popolare Commercio e Industria e Banca Popolare di Ancona) onto the target platform.

75 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The instruments in use on the target IT platform were adopted for credit monitoring in all the network banks and these are integrated within the internal rating model. Developments to it are planned including the replication of functions characteristic of the instruments implemented on the old system in order to reinforce second line risk monitoring and management.

As concerns the rating models which are used by all the network banks on the target system, the following selections were made (generally): • the automatic models for retail (private individuals and businesses) and corporate counterparties already implemented on the target IT system, which are being refined and subject to evolved maintenance; • the judgemental model in use on the old system for large counterparties (major borrowers), which is being implemented in the software on the target system.

The results of the different models are brought onto a single reconciliation scale which groups the results of the rating analyses by clusters with homogenous PD (Probability of Default). In the context of Basel 2, those models will be subject to approval by the Bank of Italy in order to allow the UBI Group to use the advanced approach to credit risk management.

Particularly intense activity was also performed in the first half to revise, update and adopt policies and regulations for credit risk management. The particular attention paid to the subprime mortgage segment caused by recent events on the American market in particular (even if the effects for the UBI Group are only marginal) and the perception of greater risks for business in the mortgage sector has recommended a specific focus on Group controls and the adoption of a policy to regulate procedures for the use of external distribution networks for the acquisition of mortgage business from non captive customers. As concerns credit risk, the UBI Group currently presents no particular problems because the internal rating system and credit processes result in in-depth and prompt analysis of all possible signals of credit problems received from counterparties, which produce “negative outcome” or “high risk” results whenever particularly irregular past histories are encountered both internally and at banking sector level (e.g. evidence of protested bills, adverse court rulings, unpaid instalments, impaired or non performing status of loans, etc.). In order to contain other types of risk (operational and reputation), policies and rules were formulated for agreements with mortgage distribution networks, which govern the approval of the networks employed, the characteristics of the products and loan disbursement processes with the details built into each individual agreement.

Again with regard to mortgages, a policy was adopted which contains the UBI Group guidelines for portability (in both directions), the renegotiation (including the rescheduling of instalments as regulated by the agreement between the Ministry of the Economy and Finance and the Italian Banking Association), the substitution and early repayment (partial or total) of mortgages. It complies with the new regulatory framework recently introduced and is also designed with a view (by setting minimum standards of service, amongst other things) to minimising times required, conditions and related costs and also to equipping the Group with appropriate processes and instruments to manage the relative risks (credit, operational and reputation).

Quantitative information

Classification of exposures on the basis of external and internal ratings

The internal rating system of the UBI Banca Group implemented on the IT target platform consists of the following families of models: • Major Borrower Model - the rating is made on the basis of a mainly judgemental analysis, within which particular attention is paid to the Group of companies to which the counterparty belongs. The introduction and consequent operational start up of the target process is planned for the beginning of August 2008;

76 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f • Corporate Models - the rating (statistical and qualitative) is made on the basis of balance sheet analysis, the characteristics of the company, the performance profile and the Group it belongs to. • Retail Business Models - the rating for the first disbursement (statistical and qualitative) is made on the basis of balance sheet analysis, where available, an analysis of the positioning of the company and bank account records. This rating is then updated by monitoring performance supported by internal performance data and it is calculated monthly; • Private Individual Models – models for first disbursement rating of private individual customers generate a counterparty rating (statistical and qualitative) calculated as a function of the type of product (mortgages, loans, cards and overdrafts) based on sociological and financial factors. Performance monitored ratings are then also based on internal and external performance data.

The degree to which exposures to ordinary customers are covered by the different internal rating models in use in the Group’s network banks are given below by market/commercial portfolio. For the purposes of providing an estimate of the total percentage cover for the lending portfolio, exposures on network banks that have not yet migrated which are covered by the performance model only are also considered.

Network banks: degree to which exposures are covered by internal rating with the UBI internal rating system by market/commercial portfolio

2% 7% 11%

98% 93% 89%

Corporate Small Business & POE Affluent & Mass market

Rated Unrated

Network Banks: Corporate Market Distribution of lending on the Master Scale

20% 100%

18% 90%

16% 80%

14% 70%

12% 60%

10% 50%

8% 40%

6% 30%

4% 20%

2% 10%

0% 0%

1 2 0 5 M3 1 13 14 1 SM SM S SM4 SM5 SM6 SM7 SM8 SM9 SM SM11 SM12 SM SM SM

% Lending %Cumulative lending

77 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 1.2 – Market risk

1.2.1 Interest rate risk – Supervisory trading book

Qualitative information

Information on organisational and methodological aspects, which are unchanged, has already been reported in the notes to the consolidated financial statements for the year ended 31st December 2007, which may be consulted.

The main operational limits for the trading book of the UBI Group set for 2008 are given below: y Maximum cumulative loss (MCL) for the UBI Group trading book 45,08 million euro y One day VaR limit for the UBI Group trading book 24,46 million euro y Early warning level on MCL 70% MCL y Early warning level on VaR 80% VaR y Maximum cumulative loss (MCL) for investments in hedge funds 75 million euro y Two month VaR limit for investments in hedge funds 50 million euro

Quantitative information

Supervisory trading book: internal models and other methods of sensitivity analysis

The graph below shows the changes in daily VaR that occurred in the first half of 2008 for the trading portfolios of the UBI Group.

Change in market risk Daily market VaR for the UBI Group in the first half of 2008

4,400,000 4,100,000 3,800,000 3,500,000 3,200,000 2,900,000 2,600,000 2,300,000 2,000,000 1,700,000 1,400,000

8 8 8 8 8 8 8 8 8 8 8 08 0 00 00 00 00 /200 /200 /200 /200 /200 /200 /200 1/2 1/2 1/2 2/2 2/2 /0 2 6/0 0/0 3/0 7/0 2/03 6/03 9/04 0 1 3 1 2 1 2 0 23/04 07/05 21/05 04/06 18/06/2008 Market VaR does not include VaR on hedge funds, instruments for which a specific investment policy is employed as detailed in section 1.2.3.

VaR by risk factor calculated on the entire trading book of the UBI Group as at 30th June 2008 is given below.

78 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Trading book UBI Group 30th June 08 Average Minimum Maximum Exchange rate risk 58.035 174.925 19.776 513.356

Interest rate risk 3.378.736 947.074 136.954 3.920.892

Equity risk (1) 2.335.308 2.203.224 1.664.211 2.767.463

Credit risk 311.333 127.570 65.844 311.333

Volatility risk 216.086 246.272 144.874 360.750

Diversification effect (2) (2.880.787) - - -

Total (1) 3.418.711 2.512.468 1.919.438 (3) 3.994.882 (3)

(1) Does not include the VaR on hedge funds (2) The diversification effect is given by the imperfect correlation between the different risk factors present in the portfolios of the two Groups; (3) The maximum VaR was measured on 17th June 2008 and the minimum on 2nd January 2008

Backtesting analysis

Backtesting analysis is designed to monitor the predictive power of the VaR model adopted. It uses a theoretical Profit & Loss calculated on the basis of hypothetical changes in the value of the portfolio, determined by revaluing at the time t the positions at the end of the day at t-1 (assuming the positions are unchanged). The backtesting analysis for the trading book of the UBI Group for the first half of 2008 is given below. The testing performed demonstrated the validity of the model adopted for the calculation of VaR.

UBI Group trading book: backtesting for first half of 2008

5.000.000 VaR P&L 4.000.000

3.000.000

2.000.000

1.000.000

-1.000.000

-2.000.000

-3.000.000

-4.000.000

-5.000.000

8 8 8 /08 /08 /0 /08 /08 /08 /0 /08 /0 1 3 6 01 /02 04 /04 06 6/0 0/ 3 6/0 9/ 3 1/05/08 4/0 8/ 02/01/08 1 3 1 27/02 12/03/08 2 0 2 07/05/08 2 0 1

Stress test analyses

The Group has a stress testing programme designed to analyse the reaction of portfolios to risk factor shocks with the objective of verifying the capacity of the supervisory capital to absorb very large potential losses and to identify possible measures needed to reduce risks and conserve the capital itself. The stress tests performed are based on both theoretical shocks and market shocks actually observed in a predetermined historical period. The former consist of specially created extreme

79 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f shifts in interest rates (short, medium and long term), credit spreads, exchange rates, equity prices and volatility curves. The latter are conducted on historical scenarios which have occurred since 11th September 2001. The results of the theoretical stress tests performed on the portfolios of the UBI Group are given below.

The effect of theoretical shocks on the portfolios in the trading and banking books of the Group

UBI GROUP UBI GROUP BANKING Data as at 30/06/08 UBI GROUP TOTAL TRADING BOOK BOOK Change in NAV % Change in NAV % Change in NAV %

Risk Factors IR Shock Parallel+ -16,319,373 -1.35% -20,341,534 -0.44% -36,660,907 -0.63%

Risk Factors IR Shock Parallel- 18,613,850 1.54% 20,103,104 0.43% 38,716,954 0.66%

Risk Factors IR Shock Peak+ -4,689,620 -0.39% -13,621,971 -0.29% -18,311,591 -0.31%

Risk Factors IR Shock Peak- 5,227,996 0.43% 13,876,895 0.30% 19,104,891 0.33%

Risk Factors IR Shock Tilt+ -22,405,351 -1.85% -33,032,397 -0.71% -55,437,748 -0.95%

Risk Factors IR Shock Tilt- 26,699,014 2.21% 33,931,623 0.73% 60,630,637 1.04%

Risk Factors IR Shock +100 b.p. -31,737,886 -2.62% -41,386,630 -0.89% -73,124,516 -1.25%

Risk Factors IR Shock -100 b.p. 40,712,138 3.37% 40,402,644 0.87% 81,114,782 1.39%

Risk Factors Equity Shock -10% -1,912,833 -0.16% -2,913,243 -0.06% -4,826,076 -0.08%

Risk Factors Volatility Shock +20% -16,155 0.00% -377,229 -0.01% -393,384 -0.01%

Risk Factors Credit Spread Shock -4,540,304 -0.38% -45,795,119 -0.99% -50,335,424 -0.86%

The analysis was performed on the trading and banking book portfolios of the UBI Group. With respect to the portfolios on which VaR was calculated, the portfolios of the network banks of the former BL Group were excluded from backtesting.

The analysis shows the greater sensitivity of the total portfolios of the UBI Group to interest rates shocks (consistent with the predominant presence of bonds and capitalisation certificates in them) compared to changes in other risk factors. The increase in the results of the stress tests on interest rates for the trading book and on the ±100bp scenario in particular is due to the presence of interest rate swap contracts (to hedge assets of the Group network banks) which at UBI Banca level are held in the trading book.

The results of the stress tests performed on the historical scenarios for 11th September 2001 complete the information reported.

80 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The effect of market shock (11th September 2001) on the trading and banking book portfolios of the UBI Group as at 30th June 2008

Change in NAV for UBI Group portfolios: Risk factors

80,000,000

70,000,000

60,000,000

50,000,000

40,000,000

30,000,000

20,000,000

10,000,000

- 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 57 59 61 63 65 67

-10,000,000

-20,000,000

TOTAL IR EQUITY VOLATILITY FOREX

Max Change Min Change Total 72,069,948 5,731,544 Interest Rate 74,508,067 9,097,146 Equity -597,384 -12,116,308 Volatility 328,112 -992,468 Forex 1,120,072 -105,967

The results of the stress tests show that the increase in the value of the portfolios attributable to the fall in interest rates predominates over the loss resulting from the fall in equity prices. In this case too the amount of the change linked to interest rates was increased by the presence of the interest rate swap contracts already mentioned.

1.2.2 Interest rate risk – banking portfolio

Qualitative information

Interest rate risk is generated by imbalance between the maturities (repricing) of assets and liabilities in the banking book. The latter consists of all those financial instruments, assets and liabilities, not included in the trading book in accordance with supervisory regulations.

The Management Board of the Parent Bank defines, on proposal of the Finance Committee, the strategic policies and the positioning range – expressed in terms of sensitivity – for interest rate risk, for both the Group as a whole and for individual companies. A policy of basic equilibrium in terms of exposure to interest risk has been set at individual company level, although there are some specific exceptions. In addition to the exposure limits, early warning thresholds are also set. In detail:

Limits Early Warning

Positioning range at consolidated level Minimum -80 million Only on the maximum Sensitivity +/- 100 bp Maximum -180 million -150 million

The control and management of interest rate risk is performed by the relative functions in the Strategy and Control and the Finance Macro Areas of the Parent Bank. The internal risk

81 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f management process includes all activities designed to identify, measure and monitor risk at Group level. Activities designed to ensure effective application of the model and compliance with the regulations and procedures adopted also form part of that process.

Exposure to interest rate risk is measured by using gap analysis and sensitivity analysis models on all those financial instruments, assets and liabilities, not included in the trading book in accordance with supervisory regulations. Sensitivity analysis of economic value, which includes an estimate of the impacts resulting from early repayment of mortgages and long term loans, is flanked by sensitivity analysis of net interest income which focuses on changes in profits in the following twelve months. Both types of analysis are performed by hypothesising a parallel shock on the yield curve.

Quantitative information

At the end of the first half, the exposure of the UBI Group to interest rate risk in terms of core sensitivity amounted to -231 million euro. The refixing of asset items at a variable rate (significant in June and December) contributed to sensitivity by more than -20 million euro. In accordance with the limits set by the Management Board of UBI Banca as part of its “Financial Risks” policy, contracts were entered into in July to hedge fixed rate mortgage loans and reduce exposure within the limit set by the policy (maximum limit -180 million). Net of the hedging performed in July 2008, the “core sensitivity” therefore amounted to -171,3 million euro. The impact on net interest income resulting from a parallel shift (100 b.p.) of the yield curve is positive if interest rates increase (+105,8 million euro) and negative if they fall (-123,9 million euro). More specifically, the impact that results on contracted maturities is negative if interest rates increase (-17,8 million) and positive if they fall (+15,1 million). The viscosity effect of the on demand items on the other hand makes a contribution to the total impact of approximately 124 million euro if rates increase and of approximately -139 million euro if they decrease.

The table below gives the risk measured for a standardised parallel shift in the curve of 200 bp – in compliance with the requirements of Basle 2 – measured on the tier 1 and the supervisory capital at the end of the period.

Risk indicators – period average (*) March- June 2008 parallel shift of 200 bp sensitivity/tier 1 4,3 % sensitivity/supervisory capital 3,2 %

Risk indicators – end of period values (*) 31st March 2008 30th June 2008 parallel shift of 200 bp sensitivity/tier 1 3,7 % 4,3% sensitivity/supervisory capital 2,7 % 3,2%

(*) inclusive of the impact of early repayment of mortgage loans and the hedging performed in July on the position as at 30th June 2008.

For the purposes of full information, the limits defined for the trading book are also used for some of the portfolios in the banking book containing assets classified as available-for-sale for IFRS purposes (Centrobanca corporate portfolio, IW Bank portfolio). At the end of June the total VaR for the banking portfolios of the UBI Group amounted to 8,27 million euro (3,71 million as at 31st December 2007) with a NAV of 5.275,83 million euro (4.863 million as at 31st December 2007)1.

1 The figures for NAV and VaR are calculated net of intragroup securities.

82 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 1.2.3 Price risk – Supervisory trading book

Information on organisational and methodological aspects, which are unchanged, has been reported in the notes to the consolidated financial statements of the Group for the year ended 31st December 2007, which may be consulted.

As concerns investments in hedge funds, the relative VaR is calculated using a “style analysis” method with a confidence interval of 99% and a holding period of two months. At the end of June 2008, the method for calculating VaR was applied to funds amounting to approximately 748 million euro. The VaR used was approximately 45 million (against a limit of 50 million). The investments were denominated exclusively in euro (64% of NAV) and in USD (36% of NAV) and they were mainly in multi-strategy funds (more than 24% of NAV), which involve internal diversification of the management strategies, in long/short equity funds (18% of the NAV) and event driven funds (17% of the NAV).

1.2.4 Price risk – Supervisory banking book

The management of price risk for the banking book forms part of the activities described in the information given for the trading book; the financial instruments other than those included in that information are not subject to price risk.

1.2.5 Exchange rate risk

Exchange rate risk is calculated on the basis of mismatches existing between assets and liabilities in foreign currency (spot and forward), relating to each currency other than euro. Exposure to exchange rate risk is calculated starting from the net exchange rate position using a method based on supervisory regulations.

1.3 Liquidity risk

Qualitative information

Liquidity risk is monitored using a liquidity gap model which calculates the net cash flows of the Group and of individual companies over time in order to detect any critical points in the expected liquidity. Liquidity risk reporting covers the entire UBI Group.

Liquidity risk is managed in practice by defining a dual limit designed to identify the composition of the sources of funding and its appropriateness in terms of the structural balance between assets and liabilities. In detail: • net exposure on the interbank market: an absolute limit is set at consolidated level (with an early warning level for the limit), while a percentage of the total sources of funding is set for each Group member company; • financial balance: this is monitored at consolidated level by the transformation of maturities. It is monitored at individual company level by monitoring mismatches by maturity ranges in order to pursue balance for each range of maturities.

Liquidity risk is also designed to measure the Group’s capacity to meet its liquidity requirements by means of assets eligible as collateral for refinancing and/or which can be liquidated.

A specific project is in progress as part of the Group’s activity to refine and develop its approach to risk management and measurement performed by the Basle 2 focus group dedicated to the second pillar which involves:

83 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f a) the development of stress testing models to measure the effects on liquidity of specific events (sensitivity) or of combined changes in a set of economic and financial variables in adverse scenarios (scenario analysis). The sensitivity analyses already performed (reduction and/or repositioning of on-demand funding from ordinary customers, repositioning of AFS securities on the basis of their degree of liquidity, early reimbursement of capitalisation policies) will be supplemented by additional stress hypotheses. The scenario analyses will focus on three different types of scenario: − normal business; − Group specific crises, which involve resort to extraordinary countermeasures; − entire market crises. b) the formulation and implementation of an emergency liquidity management plan (Contingency Funding Plan - CFP) to supplement Group risk policies, with the following objectives: − the definition of a system of risk indicators with associated “early warning” limits which constitute events which could trigger activation of the CFP; − the formation of CFP monitoring units and procedures for the declaration of a state crisis and for activation of the plan; − the definition of roles, responsibilities and the powers of a crisis committee responsible for managing crisis situations and the identification of a crisis manager (General Manager).

The activities planned have been submitted to the Management Board of the Parent Bank and approved by it.

Quantitative information

Analysis of the liquidity position as at 30th June 2008 showed net interbank indebtedness of - 2,96 billion euro, lower than the alert thresholds set by Group policy for the management of liquidity risk and appreciably lower than previous levels. The current persistence of unfavourable conditions on financial markets since July 2007, which led to the suspension of issues on the EMTN market and to the postponement of the issue of covered bonds planned for July 2008, together with the use of alternative sources of shorter term funding to meet liquidity requirements resulting mainly from long term lending, is currently affecting the structural equilibrium of the balance sheet causing mismatches in the gaps for individual maturity ranges. This situation is destined to improve with issues programmed for a total of 5 billion euro planned for the second half, with the resumption of EMTN issues and the issue of covered bonds. Liquidable assets at the end of the first half were sufficient to meet approximately 80% of the current liquidity requirement of the Group resulting from maturing items. Liquidable assets together with assets recently constituted eligible for refinancing with the ECB (resulting from the securitisation of B@nca 24-7 assets along with participation in the ABACO project) are sufficient to cover the entire liquidity requirement resulting from maturing items, in addition to a possible reduction of 1% in on-demand items relating to ordinary customers.

1.4 Operational risks

Qualitative information

Operational risk is the risk of losses resulting from errors or inadequacies in internal processes due to both human resources and technological systems or from chance or natural external events. It includes legal risk which, amongst other things, comprises exposure to fines, monetary or other penalties resulting from measures taken by the supervisory body or by private agreement regulations. Its main characteristic is that it is intrinsically connected

84 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f with all activities which employ human resources, processes, systems and property, plant and equipment and intangible assets both of the Group and of third party customers.

Information on general aspects, the processes and operational risk management and measurement systems has already been reported in the part E, point 1.4, Operational Risks, of the notes to the consolidated financial statements for the year ended 31st December 2007, which may be consulted.

Quantitative information

The graphs below show that the main sources of operational risk for the UBI Banca Group in the period January 2004 – June 2008 were “external causes” (25% of impacts and 70% of frequencies) and “processes” (63% of impacts and 28% of frequencies).

The “process” risk drivers included unintentional mistakes, insufficiently trained personnel, procedural and process inefficiencies and the failure to comply with internal procedures and controls. “External causes” (external context) included human actions performed by third parties and not directly under the control of the Bank, such as thefts and robberies, paper fraud, damage caused by natural events (earthquakes, floods, etc.) and other external events.

The types of event which caused the greatest losses gross of insurance recoveries and other external recoveries in the period in question (January 2008, - June 2008 by date of detection) were “customers, products and professional practices” (35%), “execution, delivery and process management” (25%) and “external fraud” (23%) and they were mainly attributable to the “retail banking” (47%) and “retail brokerage” (25%) lines of business.

As compared with previous financial reports the data reported here is given by date of detection as opposed to date of occurrence. For the purposes of “operational losses” the date of detection is in fact more significant because it is closer to the date of recognition. Percentage of operational losses, by date of detection, for the period 1st January 2004 – 30th June 2008, by risk driver

Frequences Impacts

External factors Human factor Processes Systems Capital requirement

Following the entrance into force of the new prudential supervisory regulations for banks (Bank of Italy Circular No. 263 of 27/12/2006), the UBI Banca Group is adopting the standardised TSA method (Traditional Standardised Approach) in combined use with the basic BIA (Basic Indicator Approach) method for the calculation of capital requirements on operational risks in 2008. It will then converge in 2009 on the use of an internal model of the advanced type (Advanced Measurement Approach-AMA) in combined use with the TSA and BIA method (partial AMA, where “partial” is intended as the adoption of the AMA method on some lines of business or Group entities only).

The capital requirement calculated using the standardised method (TSA) is the product of the multiplication of gross income (the “significant indicator” consisting of item 120 in the mandatory income statement in the consolidated financial statements pursuant to Bank of

85 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Italy circular No. 262 of 22nd December 2005), divided by regulatory lines of business, by the “beta” coefficients defined in the supervisory regulations (see Bank of Italy circulars No. 263 of 27th December 2006 and No. 155 of 18th December 1991 and subsequent amendments). The significant indicator by regulatory line of business is taken from management accounting data in compliance with regulatory provisions, by applying the classification criteria contained in the "methodological document for the determination of the significant indicator and the relative capital requirement to meet operational risk by means of the standardised method in combined use with the basic method”, approved on 27th May 2008 by the Management Board of UBI Banca. In the basic method (BIA), the capital requirement is the product of the multiplication of total gross income by the “alfa” coefficient defined in the supervisory regulations.

The capital requirement as at 30th June 2008 amounted to 545,5 million euro, consisting of 497,3 million relating to the TSA component and 48,2 million to the BIA component. The retail banking line of business absorbed 56% of the TSA component and the commercial banking line of business absorbed 22% of that component. The average coefficient of absorption with respect to the significant indicator was 13,1%.

LEGAL RISK

The companies in the UBI Banca Group are party to a number of court proceedings of varying nature originating from the ordinary performance of their business. While it is not possible to predict final outcomes with certainty, it is considered that an unfavourable conclusion of these proceedings, both taken singly or as a whole, would not have a significant effect on the financial and operating position of the UBI Banca Group.

Significant legal proceedings to which some UBI Group member companies are party include bankruptcy revocatory actions currently pending initiated by Parmalat Spa in extraordinary administration. Detailed information is contained in the Annual Report for the year ended 31st December 2007, which may be consulted.

1.5 – Insurance sector risks

In March 2008 ISVAP (insurance authority) regulation No. 20 came into force for the insurance sector. It concerns internal controls, compliance and risk management and the outsourcing of activities by insurance companies and it fully replaced the previous circular No. 577/D.

In the first half of 2008, UBI Assicurazioni Spa prepared its annual report on the system of internal controls and risk management, which was sent to the supervisory authority together with its financial statements for the full year 2007.

The typical risks to which the insurance portfolio of the company is exposed are attributable to risk assumption and reserve risk.

Risk assumption is the risk resulting from issuing insurance policies or in other words from the selection of potential insurable risks and from the unfavourable changes in actual claims made with respect to those estimated when premium rates are set. These risks are managed in advance when the technical characteristics and the pricing of products are defined by applying standard rates calculated on the basis of the past experience of the company and retrospectively by monthly monitoring of the individual sectors together with periodical control, at least half yearly, of the standard premium rate parameters.

In addition, when risks are assumed, an automatic system of control verifies the compatibility of the figures input by the network banks, the main distribution channel, when pricing estimates are made, with the portfolio management system.

Reserve risk is the risk that the size of the technical reserves will be insufficient to meet the commitments made to insured parties who make claims and it is managed when reserves are

86 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f calculated on the basis of a case by case, policy by policy, assessment of the reserves themselves. As specifically concerns the specific reserve for claims, the assessment is based on the “latest forecast cost” criterion: this assessment, which for third party liability auto business (accounting for approximately 53% of the total) is also supplemented by actuarial statistical methods, is subject to monthly controls to verify the sufficiency of the reserves.

In order to mitigate the standard business risks just mentioned, UBI Assicurazioni Spa pursues an outward reinsurance policy to guarantee the stability of portfolios and to optimise the allocation of capital at the same time. The reinsurance plan is subject to annual approval by the Board of Directors.

As concerns reinsurance counterparty credit risk and assessment of the reliability and capital strength of those counterparties, the reinsurers employed are selected according to stringent criteria dictated by the guidelines contained in the reinsurance policies pursued by UBI Assicurazioni Spa (capital requirements, minimum rating, maximum percentage of transfer, etc.).

With regard to financial risks, UBI Assicurazioni Spa manages market risk by pursuing an investment policy based mainly on government securities.

The principal risks and uncertainties for the second half of the year

Legislative Decree No. 195 of 6th November 2007, which implements EC Directive No. 2004/109/EC on the harmonisation of transparency obligations concerning the information on issuers with financial instruments admitted for trading on regulated markets, further amended the consolidated law on finance (Legislative Decree No. 58/98). It made changes to many important aspects concerning the proper functioning of the financial sector (intermediaries, markets, instruments and institutions) and introduced or strengthened controls in order to guarantee full and effective protection of savers.

One of the main changes introduced on the question of “financial information” concerned the contents of financial reports on operations. One change made concerning the condensed half year interim reports is that they must illustrate the main risks assumed by issuers and the uncertainties relating to the remaining six months of the year.

Risks

In compliance with the new supervisory provisions for banks (Bank of Italy Circular No. 263/2006), the UBI Banca Group has put a process in place to calculate the total capital adequacy requirement – for the present and the future – to meet all significant risks to which the Group is exposed on the basis of its operations (ICAAP process).

In this respect the Group has performed a thorough identification of the risks to be subjected to measurement on the basis of its operations and its markets.

The perimeter of the companies subject to the ICAAP process corresponds to those entities included in the banking consolidation for prudential supervisory purposes (Bank of Italy Circular No. 155) and it consist of the banking, financial and service companies belonging to the banking group or which are proportionately consolidated. The perimeter identified in that manner is subject to at least half yearly review when periodical consolidated financial reports are published.

The activity performed to identify significant current and future risks is designed to verify the magnitude of Group risks that are already subject to measurement and to detect signals of other risks manifesting, in relation to both loss categories already monitored and new types of loss. The identification of risks involves precise conceptual definition when identifying the main determinants of risk and describing the manner in which it manifests. This activity was

87 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f the result of a centralised survey supplemented by self assessment conducted on all the entities comprised within the perimeter.

The risks identified, the perimeter of analysis and the allocation of the risks themselves to companies in the Group are subject to an internal process of self assessment which is performed annually. The self assessment process allows areas for improvement to be identified both from a methodological and an organisational viewpoint. It specifically identifies any failings in the process itself, corrective action to be taken and time schedules for implementing it.

The risks subject to measurement in the ICAAP process were identified on the basis of the business and mission of the UBI Banca Group. In addition to first pillar risks (already covered by the regulatory requirements of the supervisory authority), measurable second pillar risks (for which quantitative methods have been formulated which lead to the determination of internal capital) and non measurable second pillar risks (for which policies, control measures and attenuation or mitigation are considered more appropriate) have been identified.

The first pillar risks are as follows: y credit risk (inclusive of counterparty risk); y market risk; y operational risk.

The second pillar risks subject to Group analyses are as follows:

1) Measurable risks - concentration risk; - interest rate risk; - business risk;

2) Non measurable risks - risks deriving from securitisations; - liquidity risk; - reputation risk; - residual risk; - strategic risk.

Given the mission of the UBI Banca Group, credit risk constitutes the most important characteristic risk: historically this risk accounts for approximately 90% of the capital at risk.

Growth in lending is predicted for the Group over the next six months of the year in line with budget forecasts. No changes are therefore expected in this respect which might cause structural modifications to the composition of the allocation of capital to individual risks. The marginal magnitude of other non credit risks should not change during the course of the second half either.

Uncertainties

An uncertainty is defined as a possible event for which the potential impact, attributable to one of risk categories just mentioned, cannot be determined and therefore quantified at present.

The context in which the Group is currently operating is characterised by two factors: the persistence of the crisis originated with subprime mortgages, which continues to affect the performance of financial markets and by the marked rise in the cost of raw materials and energy products. This is causing a slowdown in economic growth that is particularly accentuated in the euro area and which is also spreading to other economies. Moreover, the legislative and regulatory framework is currently undergoing consolidation.

88 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The elements of uncertainty identified could manifest, although without any substantial impairment to the capital strength of the Group insofar as this can be reasonably estimated, with impacts attributable basically to credit and business risk. In detail, the main uncertainties identified are linked to the following aspects: - further deterioration of the macroeconomic situation. If the macroeconomic situation were to worsen – i.e. it moved towards a situation of stagflation – this might on the one hand cause an increase in credit risk with the need to make greater provisions and on the other hand it could have a negative effect of reducing commission income, especially for the network banks and for assets under management in particular. Finally the persistence of difficulties on financial markets could cause greater costs for funding, a worsening of financial performance and impair the carrying value of the Group’s financial and intangible assets, with the possible need to also write down securities in the AFS portfolio at the end of the year (the Banca Intesa shares in particular); - changes in legislation governing maximum overdraft commissions. The question mark placed over maximum overdraft commissions could determine a contraction, direct of indirect, in net interest income in the short term, not fully offset – due partly to the considerations made in the previous point – by an increase in business volumes and by the changes in pricing policies or other forms of remuneration. tougher “third level” supervisory regulations for bonds issued by banks. If the CONSOB (Italian securities market authority) were to adopt what is termed “third level” regulation – in the form submitted to operators for consultation – for the supply of bank bonds, this could result in changes to the supply itself with consequences which cannot yet be determined and generally in lower earnings for the Bank in this area.

89 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Property, plant and equipment and intangible assets

Commitments to purchase property, plant and equipment and intangible assets

Commitments for the purchase of property plant and equipment for use in operations at the end of June amounted a 5.244 thousand euro and related mainly to the refurbishment of the buildings of the Parent Bank and to the purchase of electronic and office equipment. In addition, an option was exercised on 20th June 2008 to purchase a property located in Piazzale Zavattari in Milan, owned by UBI Assicurazioni Vita. The transfer of the property to UBI Leasing will be completed by 31st October 2008. Commitments for the purchase of intangible assets amounted to 31.577 thousand euro attributable entirely to the purchase of software.

Goodwill

Changes in the period

Figures in thousands of euro

A. Opening gross balances as at 31st December 2007 4.669.437 A.1 Total net reductions in value -312.056 A.2 Initial net opening balances as at 31st December 2007 4.357.381 B. Increases 5.286 B.1 Purchases 1.531 B.6 Other changes 3.755 C. Decreases -5.237 C.1 Sales -2.610 C.2 Net impairment losses - write downs C.6 Other changes -2.627 D. Final net balances as at 30th June 2008 4.357.430 D.1 Total net impairment losses -306.940 E. Final gross balances as at 30th June 2008 4.664.370

B.1 Purchases thousands of euro - IW Bank: purchase of shares from minorities 1.330 - Banca Popolare di Ancona: purchase of shares from minorities 201 Total 1.531

B.6 Other changes thousands of euro - extension of UBI Pramerica joint venture 2.589 - merger of Andros into UBI Insurance Broker 1.115 - other residual changes 51 Total 3.755

C.1 Sales thousands of euro - UBI Assicurazioni Vita: disposal of 50% + 1 share -2.610

C.6 Other changes thousands of euro - UBI Assicurazioni Vita: residual goodwill to -2.610 increase investment valued at equity - other residual changes -17 Total -2.627

90 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Breakdown of item "Goodwill"

Figures in thousands of euro 30.06.2008 UBI Banca Scpa 569.058 Banco di Brescia Spa 1.377.754 Banca Carime Spa 814.551 Banca Regionale Europea Spa 430.681 Banca Popolare di Ancona Spa 259.190 UBI Pramerica SGR Spa 188.124 SBS Leasing Spa 146.422 Banco di San Giorgio Spa 125.614 Banca di Valle Camonica Spa 103.621 B@nca 24-7 Spa 71.132 CBI Factor Spa 61.491 Banca Popolare Commercio e Industria Spa 40.006 By You Spa 25.790 Banca Popolare di Bergamo Spa 22.028 UBI Banca Private Investment Spa 20.189 Capitalgest Alternative Investments SGR Spa 17.365 Centrobanca Spa 15.190 UBI Banca International Sa 14.117 UBI Management Company Sa 9.155 Prestitalia Spa 8.298 IW Bank Spa 6.045 Gestioni Lombarda (Suisse) 4.145 InvestNet 2.736 BPU Esaleasing Spa 2.428 UBI Insurance Broker Srl 2.094 Solofid Spa 2.015 UBI Sistemi e Servizi SCpA 1.734 Barberini Sa 1.026 Financiera Veneta EFC Sa (in liquidazione) 962 Sifru Gestioni Fiduciarie Sim Spa 778 UBI CentroSystem Spa 387 Solimm Spa 172 UBI Assicurazioni Spa 3.281 UBI Partecipazioni Assicurative Spa 7.893 Mercato Impresa Spa 1.625 Other goodwill 333 Total 4.357.430

91 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Non current assets/liabilities held for disposal

Non current assets and disposal groups held for sale: composition by type of asset

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro A. Single assets A.1 Equity investments - - 14 A.2 Property, plant and equipment 13.194 13.205 9.746 A.3 Intangible assets - - - A.4 Other non current assets - - - Total A 13.194 13.205 9.760 B. Groups of assets (discontinued operating units) B.1 Financial assets held for trading - - - B.2 Financial assets at fair value - - - B.3 Available-for-sale financial assets 4.068 - - B.4 Held-to-maturity financial assets - - - B.5 Loans to banks - - - B.6 Loans to customers 2.537 - - B.7 Equity investments - - - B.8 Property, plant and equipment 4 - - B.9 Intangible assets - - - B.10 Other assets - - - Total B 6.609 - - C. Liabilities associated with single assets held for sale C.1 Borrowings - - - C.2 Securities - - - C.3 Other liabilities - - - Total C - - - D. Liabilities associated with disposal groups held for disposal D.1 Due to banks - - - D.2 Due to customers 6.605 - - D.3 Securities issued - - - D.4 Financial liabilities held for trading - - - D.5 Financial liabilities at fair value - - - D.6 Provisions - - - D.7 Other liabilities 4 - - Total D 6.609 - -

Groups of assets and liabilities held for disposal recognised as at 30th June 2008 consisted of multi-company agent operations belonging to UBI Assicurazioni to be sold to a company in the Cattolica Assicurazioni group (see the section “Strategic lines of development” for further information). As on the other hand concerns single assets held for disposal, the amounts shown for the three periods compared are attributable to assets of the Parent Bank, UBI Banca.

92 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Provisions for liabilities and charges

Provisions for liabilities and charges: composition

30.6.2008 31.12.2007 Figures in thousands of euro

1. Company pension funds 82.361 84.139 2. Other provisions for liabilities and charges 278.892 237.556 2.1 litigation 110.855 100.490 2.2 staff costs 62.234 17.907 2.3 other 105.803 119.159 Total 361.253 321.695

of which: Provisions for liabilities and charges - other provisions

30.6.2008 31.12.2007 Figures in thousands of euro

1. Provision for revocation risks 56.095 64.714 2. Provision for adjustments on interest, commissions and expenses 6.176 10.550 3. Provision for bonds and default 13.015 12.794 4. Other provisions for liabilities and charges 30.517 31.101 Total 105.803 119.159

As can be seen, the growth in provisions for liabilities and charges that occurred in the first six months of 2008 is attributable to staff costs relating to last year which were recognised within “other liabilities” because their amount was certain.

93 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Contingent liabilities

The estimate of contingent liabilities for the Group as at 30th June 2008 amounted to 122,1 million euro compared to 38,4 million at the end of 2007.

The increase that occurred in the first half consisted of the following: 16,8 million euro, net of fines and interest, relating to the findings of the finance authorities, as part of their inspection activities, which were contained in their tax audit report issued to BPB Immobiliare (see the sub-section “tax litigation” under the section “Other information”); 66,5 million euro for a damages claim which a bank in the Group received from the legal advisors of the official receivers of a customer which, together with other Italian banks, had signed a debt consolidation agreement in 2002. The claim is based on the alleged responsibility for the subsequent failure of the customer. No provisions were recognised for that claim because on the basis of the currently available information it is considered that if it was taken to court the legal proceedings would demonstrate the absence of involvement by the Bank.

94 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The income statement

The income statement figures commented on are based on the reclassified consolidated statements (the income statement, the quarterly income statements and the income statement net of the most significant non-recurring components) contained in another section. In order to provide consistent and uniform information, the tables furnishing details have been reclassified and restated pro-forma in the same manner. The notes that precede the reclassified financial statements may be consulted as may the reconciliation schedules for a description of the reclassification, and also for details of the restatement of the comparison pro-forma figures and of the PPA allocation. The comparison figures for the first half of 2007 include the income statement items for the branches which were subsequently disposed of.

Despite intervention by supranational institutions and some governments designed to restore confidence in financial markets, high volatility and a particularly prudent attitude by banking and non banking intermediaries persisted during the first six months of the year, as indicated by the substantial widening of credit spreads.

In this difficult context, the UBI Banca Group recorded net profit for the first half of 519,2 million euro, an improvement of 44,2% compared to first six months of last year, the result of a change in the composition of its revenues centred on the strong performance by net interest income, the greater synergies created and the generation of non recurring income amounting to 108,1 million euro, generated partly by the disposal of equity investments and partly by a “tax redemption”. The first half of 2007 was penalised, however, by the presence of total negative non-recurring items amounting to 86,4 million, attributable mainly to the integration costs incurred.

If non-recurring items for both periods are excluded, then net profit amounted to 411 million and decreased by 7,9%, attributable entirely to the “market effect” associated with the serious international financial crisis.

The half year result also includes an expense of 44,9 million, the net effect of the purchase price allocation for the former Banca Lombarda Group (-43,5 million the amount recognised in the same period of 2007).

The growth in net interest income (+166,6 million euro) and from the component related to business with customers in particular, largely succeeded in offsetting the poorer result for net commissions (-59,2 million euro), affected by the unfavourable performance of indirect funding, and the decrease in the result for financial activities (-62,9 million euro), allowing the level of total Group revenues to be maintained. Operating income totalled 2.247,7 million euro compared to 2.243,6 million euro in the first six months of 2007.

If net income from trading, hedging, disposal/repurchase and assets/liabilities at fair value is excluded, the increase in normalised operating income was positive by 3,1%.

In detail, net interest income – although negatively affected by the impact of the PPA (43,3 million euro, compared to 49,2 million euro in the first half of 2007) – rose to 1.464,7 million euro, an increase of +12,8%, to currently account for 65,2% of total ordinary income (57,9% in the first half of 2007).

This positive trend continues to be driven by business with customers1, up by 20% to 1.356 million euro, the result of increased volumes of business on the one hand (average net lending to customers by the network banks recorded annual growth of 3,9% and non subordinated

1 Interest income on loans to customers net of interest expense on amounts due to customers and securities issued, interest income on financial assets transferred not derecognised (only for the part relating to financing, 33.231 thousand euro in 2007), interest expense on financial liabilities held for trading (only for the part related to other liabilities – domestic currency swaps linked to certificates of deposit which in the first half of 2007 amounted to 35.227 thousand euro), interest expense on financial liabilities against assets transferred not derecognised and interest relating to hedging derivatives on bonds issued and on mortgages.

95 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f direct funding registered a growth of +5,8%) and of an improvement in the interest rate spread on the other hand (+8 basis points for the network banks), attributable to the widening of the mark up. This was achieved as a result, amongst other things, of changes in the composition of the lending portfolio as a consequence of action taken to rationalise exposures with marginal profitability (large corporate - short term lending) and to refocus on “core” lending to medium and small sized enterprises. An analysis of management figures2 reveals an increase in average lending to the small business segment of 12,6% and to the core corporate segment of 9%, against a reduction in average exposures to the large corporate segment of 16,3%.

The other companies, and Centrobanca, B@nca 24-7 and the leasing and factoring product companies in particular, recorded even stronger growth in lending, although on lower total volumes than for the main network banks.

Financial activities3 made a positive contribution of 125,1 million, but less than the 205,9 million recorded in the first half of last year. This performance is explained by the reduction in the portfolio of financial instruments owned (5,6 billion euro over twelve months), and in particular by the progressive disinvestment from capitalisation policies (-2,8 billion euro), for which the interest also fell, in parallel, from 90,5 to 22,4 million euro. The change in the composition of financial assets that occurred over twelve months (see the relative section of this report) also affected the structure of the interest income on debt securities: a reduction of 26 million euro from assets held for trading (mainly due to the disinvestment from government securities used for repurchase agreement transactions) was in fact balanced by an increase of 32 million euro from available-for-sale financial assets.

Interest and similar income: composition

Performing financial assets Impaired 30.6.2007 Other assets 30.6.2008 Debt securities Financing financial assets pro-forma Figures in thousands of euro

1. Financial assets held for trading 14.637 - - - 14.637 40.651 2. Financial assets at fair value 22.418 - - - 22.418 90.549 3. Available-for-sale financial assets 53.807 - - - 53.807 21.812 3. Held-to-maturity financial assets 8.193 - - - 8.193 10.495 5. Loans to banks 478 113.812 - 145 114.435 110.699 6. Loans to customers 4.468 2.688.806 62.556 1.405 2.757.235 2.263.948 7. Hedging derivatives XX X - - - 8. Financial assets transferred not derecognised (*) 28.227 41.523 - - 69.750 84.540 9. Other assets X X X 2.397 2.397 2.668 Total 132.228 2.844.141 62.556 3.947 3.042.872 2.625.362

(*) The column “Financing” contains the Lease Finance 4 securitisation which, having been performed in 2005, could not be derecognised.

Interest and similar expense: composition

Liabilities and Other 30.6.2007 Securities 30.6.2008 payables liabilities pro-forma Figures in thousands of euro 1. Due to banks (132.641) X (289) (132.930) (150.430) 2. Due to customers (494.263) X (142) (494.405) (328.265) 3. Securities issued X (789.181) - (789.181) (681.036) 4. Financial liabilities held for trading (2.130) - (60.252) (62.382) (44.103) 5. Financial liabilities at fair value - - - - - 6. Financial liabilities against assets transferred not derecognised (29.663) - - (29.663) (76.038) 7. Other liabilities X X (400) (400) (73) 8. Hedging derivatives X X (69.189) (69.189) (47.295) Total (658.697) (789.181) (130.272) (1.578.150) (1.327.240)

Net interest income 1.464.722 1.298.122

2 For the network banks – excluding BPA - and UBI Banca private investment. 3 Interest income on financial assets held for trading, designated at fair value, available-for-sale, held-to-maturity, and transferred not derecognised (only for the part relating to debt securities, amounting to 51.309 thousand euro in the first half of 2007), net of interest expense on financial liabilities held for trading (only for the part relating to liabilities – uncovered short positions, which amounted to 8.876 thousand euro in the first half of 2007).

96 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Although the net balance between interest income on loans to banks and interest expense on amounts due to banks was negative by 18,5 million, this was an improvement on the figure of -39,7 million euro recorded in the first half of 2007, the result of a significant reduction in volumes of business (for funding above all), despite the rise that occurred in the yield curve4.

Dividends received on shares held in portfolio amounted to 68,5 million euro and included, 55,1 million euro earned on Intesa Sanpaolo shares; the item amounted to 79,7 million euro in the comparison period. The decrease is primarily attributable to the absence of income from share portfolios following the sale of portfolios for which management was delegated by both Banca Carime (-6,5 million euro) and Centrobanca (-3,5 million euro), partly the result, for the latter, of the disposal of some private equity investments.

Profits of equity investments valued using the equity method amounted to 14,2 million euro (15,6 million euro in comparison period) and included 5,1 million euro (including the effects of exclusion from the consolidation) from UBI Assicurazioni Vita, 4 million euro from Aviva Vita, 3,3 million euro from Lombarda Vita and 1,5 million euro from Arca SGR.

Net commissions, calculated with the exclusion of performance fees, relating entirely to the Group’s asset management company, amounted to 619,8 million, a decrease compared to 674,5 million euro earned in the comparison period. The reduction is attributable almost entirely to commissions earned on indirect funding. The high volatility that permeated both international and domestic markets held down the contribution made by securities activities to 337,5 million5 (394,3 million in the comparison period). Although the comparison with the first half of 2007 shows a general weakness for individual items (with the exception of placement of securities activities, which increased by 17 million euro net of commissions paid to third parties) the greatest decrease was for customer portfolio managements (-53,8 million net, including -43,7 million euro attributable to collective customer portfolio managements), due to the combined effect of the decrease in the total stock and in the relative average profitability (also the result of the change in the composition of customers’ investments).

Commissions in other areas continued to be affected by both the greater market competition, which is determining a progressive reduction in the unit profit margins on current accounts,

Commission income: composition Commission expense: composition

30.6.2007 30.6.2007 30.6.2008 30.6.2008 pro-forma pro-forma Figures in thousands of euro Figures in thousands of euro a) guarantees granted 22.948 21.826 a) guarantees received (269) (259) c) management, trading and advisory services 392.189 451.781 c) management and trading services: (46.990) (48.857) 1. trading in financial instruments 21.161 23.182 1. trading in financial instruments (7.847) (11.605) 2. foreign exchange trading 7.712 8.731 2. foreign exchange trading (56) (76) 3. portfolio management 162.895 218.139 3. portfolio management (1.815) (3.216) 3.1. individual 43.083 54.601 3.1. own portfolio (338) (5) 3.2. collective 119.812 163.538 3.2. portfolio of others (1.477) (3.211) 4. custody and administration of securities 10.705 9.679 4. custody and administration of securities (4.631) (4.834) 5. depository bank 15.233 18.002 5. placement of securities (3.067) (1.894) 6. securities, products and services offered through 6. placement of securities 55.916 37.782 indirect networks (29.574) (27.232) 7. stock market orders 22.100 33.058 d) collection and payment services (35.200) (42.952) 8. advisory activities 2.891 2.305 e) other services (25.192) (22.498) 9. distribution of third party services 93.576 100.903 9.1. portfolio managements 20 29 9.1.1. individual 20 29 9.1.2. collective - - Total (107.651) (114.566) 9.2. insurance products 62.291 71.322 9.3. other products 31.265 29.552 d) collection and payment services 89.853 98.688 e) servicer activities for securitisation operations - - f) services for factoring operations 11.025 9.932 h) other services 211.466 211.377 Net commission income Total 727.481 793.604 (inclusive of performance commissions) 619.830 679.038

4 A comparison between the periods January-June 2008 and January-June 2007 shows an average increase of 51 basis points in the Euribor one month rate (from 3,88% to 4,39%). 5 The amount consists of management, trading and advisory services, net of the corresponding expense items, and is calculated excluding currency trading.

97 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f recognised within the item other services (-4 million euro approximately compared to the first half of 2007), and by changes in legislation governing the banking sector (measures on third party debit card commissions, commissions on credit transfers and commissions on the interbank market), which is affecting the contribution from collection and payment services (-1 million euro approximately compared to the first six months of 2007).

No performance fees were recognised in the first half because of market performance. They amounted to 4,5 million euro in the same period of 2007.

Net profit (loss) from trading

Net result Profit from Losses from 30.6.2007 Gains (A) Losses (C) 30.6.2008 trading (B) trading (D) pro-forma Figures in thousands of euro [(A+B)-(C+D)]

1. Financial assets held for trading 9.275 72.244 (69.158) (82.087) (69.726) 49.214 1.1 Debt securities 2.358 6.451 (19.693) (3.581) (14.465) (13.490) 1.2 Equity instruments 2.764 20.090 (42.301) (22.524) (41.971) 28.703 1.3 Units in O.I.C.R. (collective investment instruments) 4.153 1.358 (5.986) (15.673) (16.148) 30.933 1.4 Financing - - - - - 1.5 Other - 44.345 (1.178) (40.309) 2.858 3.068 2. Financial liabilities held for trading 744 - (50) - 694 1.879 2.1 Debt securities 699 - (50) - 649 1.879 2.2 Debts ------2.3 Other 45 - - - 45 -

XX X X 3. Other financial assets and liabilities: exchange rate differences 63 (693) 4. Derivative instruments 567.235 1.531.194 (529.918) (1.515.964) 57.157 (10.241) 4.1 Financial derivatives 567.235 1.531.004 (529.584) (1.515.964) 57.301 (9.971) - on debt securities and interest rates 470.682 1.429.956 (448.619) (1.432.954) 19.065 23.030 - on equity instruments and share indices 77.716 84.802 (73.943) (55.965) 32.610 (40.258) - on currencies and gold X X X X 4.610 1.983 - other 18.837 16.246 (7.022) (27.045) 1.016 5.274 4.2 Credit derivatives - 190 (334) - (144) (270) Total 577.254 1.603.438 (599.126) (1.598.051) (11.812) 40.159

Net profit (loss) from hedging

30.6.2007 30.6.2008 Figures in thousands of euro pro-forma

Net profit (loss) from hedging 14.116 4.625

Profits (losses) from disposal/repurchase

Net result 30.6.2007 Profits Losses Figures in thousands of euro 30.6.2008 pro-forma

Financial assets 1. Loans to banks - - - - 2. Loans to customers 943 (1.671) (728) 4.163 3. Available-for-sale financial assets 7.329 (215) 7.114 20.827 3.1 Debt securities 114 (215) (101) 184 3.2 Equity instruments 7.208 - 7.208 17.236 3.3 Units in O.I.C.R (collective investment instruments). 7 - 7 3.407 3.4 Financing - - - - 4. Held-to-maturity financial assets - - - - Total assets 8.272 (1.886) 6.386 24.990 Financial liabilities 1. Due to banks - - - - 2. Due to customers - - - - 3. Securities issued 4.172 (350) 3.822 4.057 Total liabilities 4.172 (350) 3.822 4.057 Total 12.444 (2.236) 10.208 29.047

Net profit (loss) on financial assets and liabilities at fair value

30.6.2007 30.6.2008 Figures in thousands of euro pro-forma

Net profit (loss) on financial assets and liabilities at fair value (1.620) -

Net income from trading, hedging and disposal/repurchase activities and from assets/liabilities at fair value 10.892 73.831

98 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The prolonged instability on financial markets, which continued again in the second quarter, further affected net income from trading, hedging, disposal and repurchase activity and from assets/liabilities at fair value, which amounted to 10,9 million euro at the end of the first half (73,8 million in 2007), suffering above all from losses accumulated by equity instruments and, although to a lesser degree, by hedge funds.

With regard to net profit from trading activity (-11,8 million compared to +40,2 million in the first half of 2007), a combined reading of financial assets and the respective derivatives contracts shows their economic contribution by type of instrument held in portfolio. In detail: y debt securities generated positive income of 4,6 million euro (+9,5 million in the comparison period); y equity instruments made a negative contribution to income of 9,4 million euro (-11,6 million in 2007); it must nevertheless be considered that the negative result was reduced by gains on the disposal of the investment held by Centrobanca in Radici Film Spa amounting to 16,4 million as part of its private equity operations; y units in O.I.C.R. (collective investment instruments) (which include units in hedge funds purchased before 1st July 2007) contributed negatively to earnings by -16,1 million euro compared to +30,9 million in 2007.

Similarly, the result for assets and liabilities at fair value, within which hedge funds purchased since 1st July 2007 have been classified, was negative by 1,6 million.

Profits (losses) on the disposal of financial assets and liabilities amounted to 10,2 million compared to the previous 29 million euro and they included 7,1 million euro on non-recurring gains on the sale of an investment classified as available-for-sale (Key Client Card & Solutions, formerly CIM Italy). The comparison period included 16,1 million euro relating to the disposal of Parmalat shares held in portfolio and 4,2 million euro from the disposal loans.

Net profit from hedging activity increased during the period from 4,6 to 14,1 million euro, mainly as a result of the different fair value of hedging derivatives and of the underlying, due to the trends in the yield curves used for the valuations.

On a like-for-like basis, net income on insurance operations amounted to 13,8 million euro, compared to 20,4 million euro previously. The item included net interest (-6,1 million euro), the balance on other income/expenses on insurance operations (5,6 million euro) and on other income/expenses (0,5 million euro), all relating to UBI Assicurazioni. Other operating income and costs

The lower earnings in the first half of 30.6.2007 30.6.2008 the year were mainly the result of a Figures in thousa nds of euro pro-forma more rigorous policy pursued in Other operating income 96.107 105.712 calculating the damages reserve 12.157 12.366 introduced in the current year. Recovery of expenses and other income on current accounts Recovery of insurance premiums 16.726 28.704

Recoveries of taxes 80.024 81.445 Other operating income/expenses, Rents and other income for property management calculated net of tax recoveries 3.173 4.489 (reclassified within other Recovery of expenses on financial leasing contracts 9.169 8.274 administrative expenses) and of Consolidation adjustments - - Other income and exceptional receivables 54.882 51.879 depreciation charges relating to Reclassification of "tax recoveries" (80.024) (81.445) expenses incurred for improvements to leased assets (reclassified within Other operating expenses (40.316) (28.782) Fines and charges for late tax payments (104) (206) depreciation), amounted to 55,8 Depreciation of improvements to leased assets (4.765) (5.557) million, against 76,9 million in the Costs relating to financial leasing contracts (2.181) (2.520) comparison period. Costs for public authority treasury contracts (4.098) (4.212) Ordinary maintenance of investment properties As can be seen from the table, (5) (5) performance in the period was Consolidation adjustments (189) (42) characterised on the one hand by Other costs and exceptional payables (33.739) (21.797) Reclassification of depreciation of improvements to leased growth in the item “other costs and assets 4.765 5.557 exceptional payables”, which comprises the operating expenses of Other operating income and cost s 55.791 76.930 some companies, including one non

99 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f operational company started up in the second half of 2007, for which income is recognised within other operating income. On the other hand there was a fall in income, and in insurance premium income in particular, following changes in operational procedures for the management of credit protection insurance contracts relating to mortgages and loans, which resulted in lower operating income and lower administrative expenses.

Operating costs amounted to 1.316,3 million euro, an increase of 5,7% on an annual basis. In reality the increase actually reduces to a more modest 1,7% if it is considered net of a non- recurring item amounting to 49,4 million euro present in the first half of 2007, the positive impact resulting from the application of new regulations for staff severance payments. The percentage change (1,7%) must also be compared with an inflation rate that is much higher, which underlines the efforts made to keep spending under control. The item does not include integration costs, classified within a separate item.

Staff costs: composition In detail, staff costs, amounted to 809,3 million euro, with no 30.6.2007 30.6.2008 substantial change compared to the Figures in thousands of euro pro-forma first half of 2007 considered net of 1) Employees (782.567) (731.508) the non-recurring item already a) Wages and salaries (551.063) (532.828) mentioned relating to staff b) Social security charges (143.810) (144.647) severance payments (+0,5%). c) Severance indemnity (4.252) (1.882) d) Pension expense (49) (403) The composition given in the table e) Provision charge for severance payments (13.838) 17.509 shows the main components: costs for employees – 782,6 f) Provision charge for pensions and similar obligations: (4.096) (5.814) - defined contribution (2.635) (2.227) million euro – remained - defined service (1.461) (3.587) practically unchanged (+0,2%) if g) Payments to external supplementary retirement benefit considered net of the positive plans: (48.708) (26.067) - defined contribution (48.684) (26.067) item amounting to 49,4 million - defined service (24) - euro recognised in the first half of 2007 within item e) staff h) Expenses resulting from share based payment agreements (13) - severance provision. While i) Other benefits for employees (16.738) (37.376) increases were recorded, induced 2) Other personnel (16.075) (12.219) - Expenses for temporary agency staff (12.081) (9.788) by the inertial effect of labour - Other expenses (3.994) (2.431) contract renewals, salary trends 3) Directors (10.611) (11.849) and company bonuses along Total (809.253) (755.576) with incentive schemes, the item benefited from a reduction in costs of approximately 22 million euro resulting from a decrease in average staff numbers (the effect of both redundancy plans in progress and the disposal of branches which occurred in 2007) and a reduction in payouts for leaving incentives, a consequence of a different combination of applications to the “support fund” and use of leaving incentives; costs for other personnel increased to 16,1 million euro (+3,9 million euro) and were mainly attributable to an increase in the use of temporary staff (see the section “Human resources”); expenses related to the item “directors” fell to 10,6 million euro (-1,2 million euro).

Other administrative expenses amounted to 373,6 million euro, with no significant changes compared to the 2007 (+1,2%). The change, which totalled 4,3 million euro, actually consisted of 2,5 million euro of increases in indirect taxes (due to lower recoveries recorded), with the remaining part consisting of greater costs incurred to strengthen the centralised IT infrastructure and for mobility and advertising initiatives, which were offset by lower property maintenance expenses and lower insurance premium expenses (connected partly with the changes in the procedures for managing credit protection contracts as already mentioned).

For a proper assessment of costs, it must also be considered that the Group is incurring expenses for the functioning for the whole of 2008 of two IT systems, both the target IT platform and the former BPU platform, the latter to be switched off once the IT migration process is over.

100 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Net impairment losses on property, plant and equipment and intangible assets amounted to 133,5 million euro, compared to approximately 120 million euro for the first half of 2007 (+11,3%) and they reflect the greater investments made in the Group IT systems. The item also includes the increased negative Other administrative expenses: composition effect of the PPA, which amounted to 36,5 million, compared to 30,8 million in 2007, as a 30.6.2007 30.6.2008 pro-forma result of the amortisation curve for those costs. Figur es in thousands of euro

A. Other administrative expenses (358.542) (356.742) As a result of the performance reported above, Postal, telephone and telegraph, use of networks the cost/income ratio – calculated as the ratio of and ICT services (67.172) (66.353) operating costs to operating income, normalised Professional services (39.941) (38.721) Legal and debt collection expenses (17.903) (14.416) (net of non-recurring items) and calculated net of (15.307) (19.462) the impacts of the purchase price allocation – Maintenance, installation of machines, furnishings etc. stood at 56% compared to 55,1% in the Insurance premiums (16.018) (26.732) Counting and management of valuables (5.469) (7.956) comparison period. Utility bills and tenancy of premises (28.975) (28.559) Advertising (19.031) (15.526) As a summary of the overall performance of the Forms and stationery (9.824) (9.112) UBI Banca Group, net operating income (7.157) (7.835) Information services and land registry searches amounted to 931,4 million, compared to 998,8 Property and equipment maintenance (12.927) (15.035) million in June 2007. Supervisory (9.851) (8.501) If net income from trading, hedging and Entertainment expenses (1.456) (1.959) disposal/repurchase activity and Electronic processing by third parties (17.574) (14.103) Emoluments of statutory auditors (1.430) (1.861) assets/liabilities at fair value is excluded, the Membership fees (3.950) (3.979) increase in normalised net operating income was Transport, removal and travel expenses (21.210) (16.822) positive by 5,1%. Sundry goods (131) (623) Books and periodicals (1.606) (1.462) Net impairment losses on loans amounted to Rents payable (38.670) (37.319) Lease instalments on machines, software, furnishings, (16.464) (12.736) 154,26 million euro, compared to 115,1 million etc. euro previously. The increase of 39,1 million Other contributions (1.034) (1.281) euro consists of: Other expenses (5.442) (6.389) B. Indirect tax es (15.031) (12.567) y 1,8 million of collective net impairment losses Indirect taxes and duties (5.009) (3.789) on the performing loans portfolio, based on Stamp duty (67.881) (68.331) unchanged rates of deterioration, constantly Municipal property tax (3.563) (3.599) lower than sector averages; Other taxes (18.602) (18.293) Reclassification of "tax recoveries" 80.024 81.445 y 37,3 million euro of case by case adjustments Total (373.573) (369.309) on deteriorated loans, connected with both the worsening economic scenario in progress and the completion of the process to standardise valuation criteria for the non performing and impaired loans of the network banks following the centralisation of the management of these loans in the Parent Bank.

The total cost of lending – measured by the ratio Net impairment losses on loans: composition of net impairment losses to net loans to customers – was 0,32% annualised (0,29% net of the action take to standardise the valuation Impairment losses/write-backs 30.6.2008 criteria for impaired and non performing loans Specific Portfolio Importi in migliaia di euro following the centralisation of debt collection activities), compared to 0,25% annualised in the A. Loans to banks (491) (202) (693) first six months of 2007. B. Loans to customers (150.436) (3.066) (153.502) C. Total (150.927) (3.268) (154.195)

It will be recalled that the amount for the first half of 2007 included a non-recurring Impairment losses/write-backs 30.6.2007 impairment charge of 2,4 million euro relating to pro-forma Specific Portfolio HRS-Help Rental Service Srl, a write down which Fi gur es in thousands of euro was also accompanied by a charge to provisions A. Loans to banks 1 87 88 for liabilities and charges amounting to 2,3 B. Loans to customers (113.578) (1.568) (115.146) million euro. Both these items were included C. Total (113.577) (1.481) (115.058)

6 As at 30th June 2008, amounts receivable from the Hopa Group totalled 109 million euro and they were valued on the basis of existing guarantees and agreements being formulated for the repayment of the debt. This involved a write down of approximately 3 million euro.

101 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f within non-recurring items, in consideration of the liquidation of HRS decided by a shareholders’ meeting of 16th July 2007.

Net write-backs of impairment losses on other assets/liabilities were recorded in the first six months which included: y -6,4 million euro for a further write down of the interest held in Hopa (classified within non- recurring items), based on an update of the valuation following news in the press of an agreement between Mittel, the Equinox fund and the Fingruppo creditor banks for the joint purchase of 38,7% of Hopa at a price of 0,10 euro per share. The investment, amounting to a 2% stake, was therefore recalculated at 0,10 euro per share, to produce a further permanent loss in value of 3 million euro following the 3,4 million euro loss in the first quarter; y +8,5 million euro as the positive non-recurring effect of the changes made to the parameters employed for calculating impairment losses on loan guarantees in order to align them with the criteria employed for the calculation of collective impairment losses on cash loans. Net impairment losses of -5,9 million euro were recorded for this item in the first half of 2007 and they included a write down of Hopa of 5,1 million euro (classified as non-recurring).

Net provisions for liabilities and charges Net provisions for liabilities and charges amounted to 30.6.2007 30.6.2008 25,9 million euro, pro-forma Fi gur es in thousands of euro compared to 13,6 million 1. Net provisions for liabilities and charges for revocations 673 1.298 euro in the first six

2. Net provisions for value adjustments to interest, commissions and expenses - (5.000) months of 2007. The 3. Net provision charges for bonds in default (1.588) (1.206) increase is the result of 4. Net provisions for litigation (20.234) (1.705) greater provision charges 5. Other provisions for liabilities and charges (4.771) (6.990) for litigation which arose Total (25.920) (13.603) in the first half of the year (disputes with customers and other counterparties, legal action with personnel, tax inspections, etc.).

The first half benefited from gains on the disposal of equity investments amounting to 79,1 million euro, consisting of 55,9 million euro from the gain on the disposal of shares in the Pramerica asset management company to restore the interest held by our American partner to the agreed 35% level and of 23,2 million euro from the gain on the partial sale (50% of the share capital +1 share) of UBI Assicurazioni Vita to our insurance partner Aviva. The amount of 21,5 million euro recognised in 2007 included a gain of 21,3 million on the disposals performed for the listing of the IW Bank share. All the amounts mentioned above were classified within non recurring items.

Profit on continuing operations before tax amounted to 833,9 million euro, compared to 885,8 million euro previously. If net income from trading, hedging and disposal/repurchase activity and assets/liabilities at fair value is excluded, the change in normalised profit on continuing operations before tax was -1,2%.

Taxes on income for the period for continuing operations amounted to 227,1 million, a decrease compared to 363,1 million in the first half 2007, the result of: y the non recurring positive impact recognised to 30th June 2008 triggered by the application of a substitute tax on non accounting differences (the EC section of the income tax form) pursuant to Art.1, paragraph 33 of Law No. 244/2007, which aligned amounts (for depreciation and amortisation, net impairment losses and provisions) in the statutory accounts with those for tax purposes by means of the payment of a substitute tax. The benefit – amounting to 73,8 million – is the result of the difference between provisions made in the accounts for deferred taxes on items subject to redemption (27,5% + IRAP, local production tax) and the substitute tax due (16%); y changes resulting from the “summer mini-budget” (Law No. 133 of 6th August 2008) concerning the partial non deductibility of interest expense (3%), considered a recurring

102 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f event, with greater costs in terms of increased taxes to 30th June 2008 amounting to 19,4 million euro. y the reduction in tax rates which came into force from 1st January 2008. The normalised tax rate for the period was 39% (percentage calculated net of the tax redemption which had a positive impact on the ordinary tax rate of 8,8 percentage points), while the comparison figure for 2007 was 41,2%. The reduction of 2,2 percentage points between the two periods is attributable mainly to the decrease in the tax rates which came into force on 1st January 2008, although this was partly offset by the partial non deductibility of interest expense introduced by the summer “mini- budget” and by the taxation of dividends between Group member companies.

The income statement included a specific item containing the total for integration costs – amounting to 40,7 million euro (before tax of 12,3 million) – comprised as follows: 18,5 million euro of costs at present value relating to leaving incentives and applications to the “Income Support Fund” (3,6 million euro), staff costs connected with mobility and the plan to centralise operations, along with temporary agency staff to support network banks; 21,2 million euro of other administrative expenses relating to IT migrations, operational centralisation and industrial consultancy, incurred to a large extent by UBI Sistemi e Servizi (13,1 million euro) and by UBI Banca; one million euro for net impairment losses on property, plant and equipment and intangible assets.

The after tax profit (loss) from discontinued operations was negative amounting to 11 million euro – classified as a non-recurring item – and included 10,9 million for the additional balance to be paid on the price of the 61 branches sold to Banca Popolare Vicentina (the gain was recognised in the 2007 financial statements within the same item). The adjustment emerged in 2008 following contractually agreed verification of the volumes of business transferred as at 31st December 2007. Calculation of the final amount is still being evaluated by the relative units concerned. The amount for the first half of 2007 – 16,6 million – is the result of the sale of 15 Banca Carime branches to Banca Popolare Pugliese.

Finally, profit for the period attributable to minority interests amounted to 48,1 million, compared to 32,9 million in 2007.

ROE (return on equity) annualised – calculated as the ratio of profit, net of non-recurring items and excluding the effects of the PPA, to shareholders’ equity at the end of period net of the purchase price allocation of the former Banca Lombarda – stood at 12,5% (13,3% in the first half of 2007).

***

The second quarter of 2008 ended with a net profit of close to 300 million euro, an increase compared to both 166,8 million euro earned in the same quarter of 2007 and 219,3 million euro in the first three months of the year. While that improvement is attributable primarily to non-recurring items, it is also the result of trends for ordinary operations.

As concerns non-recurring items: - integration costs made a lower impact (146,3 million euro net of tax in the second quarter of 2007, compared to approximately 14 million euro in both the first two quarters of 2008); - the benefit of the tax redemption recognised in June 2008 amounted to 73,8 million euro, although it was lessened partially by the effects of the summer “mini-budget”.

As concerns ordinary activities, however, the following changes occurred: - the trend for net interest income in the second quarter of 2008 – 732,8 million euro – was basically the same, year-on-year, as for the first half (+12,1% compared to 653,9 million euro in the second quarter of 2007). The item remained practically unchanged compared to first three months of the current year (+0,1%);

103 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - the negative trend for net commissions (excluding performance fees), amounting to 302,4 million in second quarter of 2008, worsened (-12,4% compared to the second quarter of 2007; -4,7% compared to the previous quarter), related, amongst other things, to the increased net outflows from investment funds; - the net profit on financial activities for the period was positive at 38 million euro, compared to -27,1 million euro in the first three months of the year, the result, amongst other things, of recoveries in the fair value of hedge funds (+4,5 million euro) and the profits realised on the sale of Radici Film (16,4 million euro) and Key Client (7,1 million euro). Net profit on financial activity in the second quarter of 2007 amounted to +24 million euro; - total operating income amounted to 1.179,3 million euro in the second quarter, an improvement of 10,4% compared to the previous three months (the result, amongst other things, of dividends received) and of 2% on an annual basis; - staff costs totalled 414,6 million euro in the period, an increase of +5,1% on a quarterly basis (due to seasonal recognition of company bonuses and incentive scheme payments) and of 15,8% on an annual basis, which in reality was only +1,8% in normalised terms, to take account of the one-off benefit of 49,4 million euro resulting from application of the new accounting rules for the staff severance provision since June 2007; - other administrative expenses – 199,2 million euro – recorded an upward trend compared to both the second quarter of 2007 (+4,6%) and to the previous quarter (+14,3%), the latter relating mainly to expenses for advertising campaigns and local sponsorships, property and IT maintenance, increased staff mobility expenses and trends for indirect taxation. The performance described must nevertheless be considered in a context of basically unchanged expenses for the two half year periods; - net impairment losses on loans amounted to 94 million euro, compared to 60,2 million euro in the previous quarter, the result of both the deterioration in the economic situation and the presence of a one-off component generated by the centralisation in the Parent Bank of the criteria for valuing the non performing and impaired loans of the network banks. Net impairment losses totalled 51,8 million euro in the second quarter of 2007, benefiting from significant write-backs on the performing portfolio. The cost of lending in the quarter (annualised) stood at 0,39%, compared to 0,26% in the first quarter of 2008 and 0,23% in the second quarter of 2007. Net of the action taken to standardise the valuation criteria for impaired and non performing loans following the centralisation of debt collection activities, the figure for the second quarter of 2008 was 0,34%.

104 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Shareholders’ equity and capital adequacy

At the end of June 2008, the consolidated shareholders’ equity of the UBI Banca Group, inclusive of profit for the first half, amounted to 11.360,5 million euro compared to 11.812,1 million at the end of 2007.

As can be seen from the statement of changes in consolidated equity as at 30th June 2008, contained among the condensed half year consolidated financial statements, the change that occurred in the first half is attributable to: • the allocation of 2007 profit to dividends and other uses amounting to 632,7 million; • the recognition of profit for the period of 519,2 million euro; • a negative change in reserves of 338,1 million, including 5,1 million attributable to reserves of profits and 333 million euro to a decrease in valuation reserves within which available- for-sale financial assets fell by of 336,3 million euro.

Valuation reserves: changes in the period

Available-for- Special Cash flow Exchange rate Actuarial sale financial revaluation Total hedges differences gains/losses assets laws Figures in thousands of euro

A. Opening balances as at 1st January 2008 -34.907 923 -243 2.093 69.619 37.485 B. Increases 9.734 - - 3.657 398 13.789 B.1 Increases in fair value 3.920 - - - - 3.920 B.2 Other changes 5.814 - 3.657 398 9.869 C. Decreases -346.054 -16 - -638 -98 -346.806 C.1 Fair value decreases -334.968 - - - - -334.968 C.2 Other changes -11.086 -16 - -638 -98 -11.838 D. Closing balances as at 30th June 2008 -371.227 907 -243 5.112 69.919 -295.532

Valuation reserves for available-for-sale financial assets: changes in the period

Units in O.I.C.R. Financing Total (collective Debt Equity investment Figures in thousands of euro securities instruments instruments)

1. Opening balances as at 1st January 2008 -39.599 8.547 -3.855 - -34.907 2. Positive changes 1.752 7.127 855 - 9.734 2.1 Increases in fair value 1.384 1.808 728 - 3.920 2.2 Transfer to income statement of negative reserves 23 - - - 23 - for impairment ------for disposal 23 - - - 23 2.3 Other changes 345 5.319 127 - 5.791 3. Negative changes -52.627 -288.888 -4.539 - -346.054 3.1 Decrease in fair value -52.525 -279.141 -3.302 - -334.968 3.2 Impairment losses - - - - -

3.3 Transfer to income statement of positive reserves: from disposal - -4.584 - - -4.584 3.4 Other changes -102 -5.163 -1.237 - -6.502 4. Closing balances as at 30th June 2008 -90.474 -273.214 -7.539 - -371.227

105 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Valuation reserves for available-for-sale financial assets: composition

30.6.2008 31.12.2007 Positive Negative Positive Negative Figures in thousands of euro reserve reserve Total reserve reserve Total

1. Debt securities 701 -91.175 -90.474 590 -40.189 -39.599 2. Equity instruments 33.742 -306.956 -273.214 47.339 -38.792 8.547 3. Units in O.I.C.R. (collective investment instruments) 2.116 -9.655 -7.539 2.277 -6.132 -3.855 4. Financing ------Total 36.559 -407.786 -371.227 50.206 -85.113 -34.907

The item “valuation reserves for available-for-sale financial assets” decreased by 336,3 million euro, almost totally attributable to reductions in fair value. More specifically it includes the negative impact of the valuation of the Banca Intesa shares (243,8 million euro), the London Stock Exchange, formerly Borsa Italiana, shares (24,6 million euro) and the A2A shares (8,2 million euro), classified within available for sale financial assets and recognised at fair value on the basis of stock market trading prices.

While there was a significant decrease in the fair value of those shares – concentrated mainly in 2008 – it was considered that there was no objective evidence of a structural reduction in the value of these securities, given the particular circumstances that characterised equity markets during the first half.

Finally a specific internal policy is currently being formulated within the Group, expected to be completed by the end of the current year, to discipline the measurement of impairment for these financial instruments in cases of evidence of objective loss, in compliance with the relevant accounting standards.

Reconciliation between equity and profit of the Parent Bank with consolidated equity and net profit as at 30th June 2008

Shareholders’ of which: Profit Figures in thousands of euro equity for the period

Shareholders’ equity and profit for the year in the financial statements of the Parent Bank 10.769.253 708.497 Effect of consolidation of subsidiaries including joint ventures 1.146.980 773.671 Effect of valuing other significant equity investments using the equity method -2.182 14.196 Dividends received during the period - -870.312 Other consolidation reclassifications and adjustments -553.570 -106.866

Shareholders’ equity and profit for the year in the consolidated financial statements 11.360.481 519.186

The share capital (of the Parent Bank) as at 30th June 2008 amounted to 1.597,9 million, unchanged compared to the end of 2007.

Capital ratios (preliminary estimate as at 30th June 2008)

Initial indications for capital ratios as at 30th June 2008, estimated on the basis of the Basel 2 standardised approach, give a core tier 1 and a total capital ratio significantly higher than the Business Plan targets for 2008 (6,50% and 10% respectively).

However, since these are the first consolidated reports to the supervisory authority based on the new regulations and because the results produced by the new software applications are still subject to verification and controls, the final figures will be disclosed to markets when they are reported to the supervisory authority at the end of October.

106 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Information concerning share capital, the shares, dividends paid and earnings per share

Information concerning share capital

The share capital of UBI Banca as at 30th June 2008 was unchanged at 1.597.864.755 euro, consisting of 639.145.902 ordinary shares with a nominal value of 2,5 euro; all the outstanding shares have normal dividend entitlement from 1st January 2008.

The legislation in force relating to ‘popular’ co-operative banks (Art. 30 of the Consolidated Banking Act), which is also cited in article 18 of the Corporate By-Laws, limits the percentage interest of the share capital that may be owned by registered and unregistered shareholders to 0.50% of the share capital. The limit on the size of shareholdings does not apply to collective investment companies, which are subject to the limits laid down in the rules of each of them. Each registered shareholder may cast only one vote, irrespective of the number of shares held.

Under Article 120 of the Consolidated Finance Act, persons holding more than 2% of the share capital in a share issuer which has Italy as its member state of origin must notify this to the company and to the CONSOB (Italian securities market authority).

At the date of this half year financial report, no positions greater than 2% had been notified, other than those originating at the time of the merger by incorporation of Banca Lombarda e Piemontese. These positions related to the following: - Carlo Tassara Spa, with 2,282%; - Fondazione Cassa di risparmio di Cuneo, with 2,278%; - Fondazione Banca del Monte di Lombardia, with 2,255%.

In accordance with Art. 30 of the Consolidated Banking Act, the Bank proceeded to inform those concerned of the prohibition on holding more than 0,50% of the share capital1.

On the basis of an updating of the shareholders’ register, registered shareholders numbered 90.650 as at 30th June 2008. They held more than 65% of the share capital. If account is also taken of the shareholders who are not listed in the shareholders’ register, then the total of registered and unregistered shareholders numbered approximately 153 thousand.

On the basis of the latest market research study on the composition of the shareholder base, performed in co-operation with an British company specialising in “market intelligence”, approximately 30% of the share capital is held by institutional investors, mainly in the USA, in the UK and in Europe (including Italy).

1 Art. 28-bis of Decree Law No. 248 of 31st December 2007, converted into Law No. 31 of 28th February 2008 postponed the time limit for the sale of equity investments in excess of 0,50% of the share capital held in “popular” co-operative banks as at 31st December 2007 by one year. That postponement was communicated by letter to the parties concerned.

107 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Share performance

In the first half of 2008, the share, which is traded on the Mercato Telematico Azionario (screen based stock market) of Borsa Italiana in the blue chip segment and forms part of the S&P/MIB Index, fell by 21% compared to the price on 28th December 2007.

The comparison table given here shows that this result occurred in a context of a generalised fall in share prices (-23,9% the S&P/Mib index) and in the banking sector in particular (30,5% the index for the sector), affected by the persistence of the financial crisis in progress and by the general performance of the economy (see the section “The macroeconomic scenario”).

Performance comparisons for the Unione di Banche Italiane share

30.6.2008 28.12.2007 % Change 2.4.2007 % Change Amounts in euro A B A/B C A/C Unione di Banche Italiane - official price 14,799 18,734 -21,0% 21,850 -32,3% - reference price 14,890 18,810 -20,8% 21,790 -31,7% S&P/Mib 29.346 38.554 -23,9% 41.990 -30,1% Mib Banks 2.394 3.443 -30,5% 4.048 -40,9%

However, if the share is considered since 1st April 2007 – the date on which the UBI Banca Group was formed – the performance of the share (2nd April 2007 – 30th June 2008) was -32,3%, compared to -30,1% for the equity market and -40,9% for the banking sector.

Subsequent to the end of the first half and until the date of this report, after recording a new minimum for the year on 16th July trading at 14,18 euro, the UBI Banca share recovered partially to fluctuate between 15 and 16 euro.

Meetings with the financial community and the recommendations of the 24 brokerage firms which follow the UBI Banca share seem to express no doubts over the quality of the Bank and its careful and prudent management approach: the average target price indicated was 19,30 euro, equivalent to potential growth with respect to current prices of greater than 20%.

Performance of the UBI Banca share sincel 1st July 2003 (*) and volumes traded Graph No.. 1 23,00 35.000.000

22,00 32.500.000

21,00 30.000.000

20,00 27.500.000

19,00 25.000.000

18,00 22.500.000

20.000.000 17,00

17.500.000 16,00 15.000.000 15,00 12.500.000 Volumes 14,00 10.000.000 13,00 7.500.000

12,00 5.000.000

11,00 2.500.000

10,00 2003 2004 2005 2006 2007 2008 0 l asondg fmamgl asondg fmamgl asondg fmamgl asondg fmamgl asondg fmamgl a (*) reference prices

108 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

In the first half of 2008, 355 million shares were traded on the screen based stock market for a value of 5,8 billion euro (a total of 725 million UBI Banca shares were traded during 2007 for a value of more than 14,7 billion euro).

The stock market capitalisation (calculated on the official price) at the end of June amounted to 9,5 billion euro (approximately 12 billion at the end of 2007), which again put UBI Banca in fourth place among Italian banking groups and among the first 40 in Europe (on the basis of ABI – Italian Banking Association – classifications published in its European Banking Report). At the date of this report it exceeded 9,7 billion euro.

The principal information on the UBI Banca share is given below.

The UBI Banca share and the main stock market indicators

1st first half 2008 Full Year 2007

Number of shares outstanding at the end of period 639.145.902 639.145.902

16,378 20,133 Average price of the UBI share - in euro (average of the official prices quoted daily by Borsa Italiana Spa) Minimum price (recorded during trading) - in euro 14,560 17,780 Maximum price (recorded during trading) - in euro 18,850 22,680 Unit dividend - in euro 0,95 0,95 Dividend yield (dividend per share/average price) 5,80% 4,72% Dividend totals - in euro 607.188.606,90 607.188.606,90 Book Value - in euro (Consolidated equity, excluding profit for the period, per share) 16,96 17,10 Stock market capitalisation at the end of period (official prices) - in millions of euro 9.459 11.974 Price/book value (Stock market capitalisation at the end of period/consolidated equity, excluding profit for 0,87 1,10 the period) EPS - Earning per share - in euro (consolidated net profit per share pursuant to IAS 33)(*) 1,595 1,644 Price/earnings ratio - in euro (average price/consolidated profit per share) 10,3 12,2

(*) The EPS for 2007 takes into account the earnings of the companies of the former BLP Group from 1st January 2007.

109 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Dividends paid

In accordance with IAS 34, section 16, on 19th May 2008 a dividend was paid for 2007, with value date 22nd May, for a total amount of 607.188.606,90 euro, corresponding to 0,95 euro for each of the 639.145.902 UBI Banca shares with dividend entitlement from 1st January 2007.

Earnings per share (in accordance with IAS 33)

January-June 2008(*) Annualised attributable profit Weighted average of ordinary Earnings per share (in thousands of euro) shares (in euro) Basic EPS 509.621 639.146 0,7973 Basic EPS “annualised” 1.019.243 639.146 1,5947 Diluted EPS 509.621 639.146 0,7973 Diluted EPS “annualised” 1.019.243 639.146 1,5947

2007(**) Profit attributable Weighted average of ordinary Earnings per share (thousands of euro) shares (in euro) Basic EPS 869.637 565.480.098 1,5379 Diluted EPS 869.637 565.480.098 1,5379

January-June 2007 (***) Annualised attributable profit Weighted average of ordinary Earnings per share (in euro) (in thousands of euro) shares Basic EPS 301.899 490.177.275 0,6159 Basic EPS “annualised” 603.799 490.177.275 1,2318 Diluted EPS 301.899 490.177.275 0,6159 Diluted EPS “annualised” 603.799 490.177.275 1,2318

(*) If the normalised profit net of non recurring items were considered, the annualised basic and diluted EPS to 30th June 2008 would both amount to 1,2566 euro. (**) If the pro-forma profit were considered - which includes the results of the companies of the former Banca Lombarda e Piemontese Group from 1st January 2007 and also the effects of the consolidation of UBI Assicurazioni Vita using the equity instead of the full consolidation method – the basic and diluted EPS to 31st December 2007 would both amount to 1,6437 euro. If the pro-forma profit in normalised terms, and that is net of non recurring items for the year, were considered, the basic and diluted EPS to 31st December 2007 would both amount to 1,3449 euro. (***) The profit attributable takes into account the results of the companies of the former Banca Lombarda e Piemontese Group from 1st April 2007. If the pro-forma profit were considered - to include the results of the companies of the former Banca Lombarda e Piemontese Group from 1st January 2007 and also the effects of the consolidation of UBI Assicurazioni Vita using the equity instead of the full consolidation method – the basic and diluted EPS to 30th June 2007 would both amount to 1,4243 euro. If the pro-forma profit in normalised terms, and that is net of non recurring items for the first half, were considered, the basic and diluted EPS to 30th June 2008 would both amount to 1,7739 euro.

110 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Consolidated companies: the principal figures

Net profit

1H2008 1H2007 % changes Figures in thousand of euro

Unione di Banche Italiane Scpa (1) 708.497 817.937 -13,4% Banca Popolare di Bergamo Spa (2) 203.075 161.413 25,8% Banco di Brescia Spa 122.358 95.295 28,4% Banca Popolare Commercio e Industria Spa 43.888 46.100 -4,8% Banca Regionale Europea Spa 61.369 48.409 26,8% Banca Popolare di Ancona Spa (3) 122.307 42.771 186,0% Banca Carime Spa 69.472 21.985 216,0% Banca di Valle Camonica Spa 13.811 10.485 31,7% Banco di San Giorgio Spa 11.291 5.799 94,7% UBI Banca Private Investment Spa (4) 1.049 3.399 -69,1% Centrobanca Spa 44.323 48.674 -8,9% Centrobanca Sviluppo Impresa SGR Spa 183 139 31,7% Banque de Dépôts et de Gestion Sa (*) 2.827 4.697 -39,8% B@nca 24-7 Spa (5) 16.871 12.906 30,7% BY YOU Spa (Gruppo) 59 329 -82,1% IW Bank Spa 7.008 4.981 40,7% UBI Banca International Sa (*) (6) 3.114 4.861 -35,9% UBI Pramerica SGR Spa (7) 20.246 16.144 25,4% UBI Pramerica Alternative Investments SGR Spa 154 52 196,2% Capitalgest Alternative Investments SGR Spa 644 2.461 -73,8% BPU Esaleasing Spa (8) 18.114 10.282 76,2% SBS Leasing Spa (8) 11.474 2.738 319,1% CBI Factor Spa 11.559 8.553 35,1% BPB Immobiliare Srl 598 47 n.s. Società Bresciana Immobiliare - Mobiliare S.B.I.M Spa 703 184 282,1% UBI Sistemi e Servizi SCpA 6.143 -1.981 n.s. UBI CentroSystem Spa 1.014 -418 n.s. Plurifid Spa 20 75 -73,3% Solofid - Società Lombarda Fiduciaria Spa 156 183 -14,8% Sifru Gestioni Fiduciarie Sim Spa 22 133 -83,5% UBI Assicurazioni Spa (*) -4.723 1.233 n.s. UBI Assicurazioni Vita Spa (49,9%) (*) (9) 2.230 4.959 n.s. Aviva Vita Spa (50%) 4.050 950 326,3% Lombarda Vita Spa (49,9%) 3.289 6.487 -49,3% UBI Trust Company Ltd 1 15 -93,3% Mercato Impresa Spa 1.469 1.470 -0,1% Coralis Rent Srl 96 143 -32,9% CONSOLIDATED (**) 519.186 360.114 44,2%

(*) The profit shown is from the financial statements prepared for the consolidation according to the accounting policies followed by the Parent Bank. (**) The consolidated figure to 30th June 2007 is pro-forma, as reported in the reclassified consolidated financial statements.

(1) The result to 30th June 2007 is pro-forma, as reported in the reclassified financial statements. (2) The profit to 30th June 2007 was adjusted to take account of the amendment to Art. 31 of the Corporate By-Laws concerning staff social security and pensions. (3) The result to 30th June 2008 includes profit on the disposal of the interest held in Pramerica (72,6 million euro net of taxes). (4) The figure to 30th June 2007 includes the result for UBI Sim Spa, merged on 1st January 2008. (5) The profit to 30th June 2008 benefits from the operations spun-off from SILF Spa with effect from 1st January 2008. For comparison purposes, the figure to 30th June 2007 includes the results of SILF Spa. (6) The figure to 30th June 2007 includes the results of BPU Banca International Sa, merged on 1st October 2007. (7) The figure to 30th June 2008 includes the effects of the contribution of the asset management operations (funds) of Capitalgest SGR, which took place on 18th January 2008. For comparison purposes the figure to 30th June 2007 includes the results of Capitalgest SGR (8) On 5th July 2008 the merger of BPU Esaleasing Spa into SBS Leasing Spa took effect with the latter taking the new name of UBI Leasing Spa. (9) On 18th June 2008, the sale of 50% of the share capital plus one share to Aviva Spa was completed. The figure to 30th June 2008 is therefore proportionate to the new percentage of ownership and does not include the effect of the exclusion of the company from the consolidation. The figure to 30th June 2007, on the other hand, is for a 100% ownership interest.

111 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Net loans to customers

30.6.2008 30.6.2007 change % change Figures in thousands of euro

Unione di Banche Italiane Scpa (*) 9.244.410 8.478.901 765.509 9,0% Banca Popolare di Bergamo Spa 20.828.881 22.751.453 -1.922.572 -8,5% Banco di Brescia Spa 15.069.513 14.831.406 238.107 1,6% Banca Popolare Commercio e Industria Spa 9.568.120 9.067.543 500.577 5,5% Banca Regionale Europea Spa 7.956.467 7.880.327 76.140 1,0% Banca Popolare di Ancona Spa 7.726.299 6.890.394 835.905 12,1% Banca Carime Spa 4.325.606 3.504.076 821.530 23,4% Banca di Valle Camonica Spa 1.768.205 1.542.768 225.437 14,6% Banco di San Giorgio Spa 1.946.874 1.524.991 421.883 27,7% UBI Banca Private Investment Spa (1) 384.366 341.544 42.822 12,5% Centrobanca Spa 6.865.045 5.962.121 902.924 15,1% Banque de Dépôts et de Gestion Sa 277.835 231.576 46.259 20,0% B@nca 24-7 Spa (2) 7.511.622 5.058.724 2.452.898 48,5% UBI Banca International Sa (3) 515.474 174.335 341.139 195,7% IW Bank Spa 95.869 63.003 32.866 52,2% CBI Factor Spa 1.840.869 1.611.219 229.650 14,3% BPU Esaleasing Spa 4.142.627 3.658.233 484.394 13,2% SBS Leasing Spa 4.560.953 3.659.171 901.782 24,6% CONSOLIDATED (*) 96.506.114 90.613.403 5.892.711 6,5%

In order to perform a proper assessment of the changes shown in the table, it must be considered that for some network banks, changes in the volumes of business were affected by changes in branch networks that occurred during the twelve month period. In detail, BPB was affected by the sale of 11 branches to Banca Popolare di Vicenza and the transfer of 4 branches to BPCI, BPCI by the sale of 18 branches to Banca Popolare di Vicenza and the transfer of 9 branches to Banca Popolare di Ancona and Banco di Brescia by the sale of 32 branches to Banca Popolare di Vicenza. Moreover, in the case of Banca Popolare di Bergamo, the policy to contain exposures to the large corporate sector also played a significant part, with regard to short term lending above all.

Net non performing Net non performing Net impaired loans / loans + Net impaired loans / net lending net lending loans / net lending

30.6.2008 30.6.2007 30.6.2008 30.6.2007 30.6.2008 30.6.2007 Percentages

Unione di Banche Italiane Scpa ------Banca Popolare di Bergamo Spa 0,65% 0,48% 0,57% 0,48% 1,22% 0,96% Banco di Brescia Spa 0,62% 0,56% 0,58% 0,47% 1,20% 1,03% Banca Popolare Commercio e Industria Spa 1,34% 1,21% 1,00% 1,07% 2,34% 2,28% Banca Regionale Europea Spa 1,17% 1,07% 1,13% 0,82% 2,30% 1,89% Banca Popolare di Ancona Spa 1,44% 1,23% 2,06% 1,21% 3,50% 2,44% Banca Carime Spa 0,57% 0,49% 0,76% 0,73% 1,33% 1,22% Banca di Valle Camonica Spa 0,67% 0,70% 0,72% 0,47% 1,39% 1,17% Banco di San Giorgio Spa 0,99% 1,06% 1,27% 0,83% 2,26% 1,89% UBI Banca Private Investment Spa (1) 0,39% 0,25% 0,53% 0,67% 0,92% 0,92% Centrobanca Spa 0,55% 0,82% 1,13% 0,58% 1,68% 1,40% Banque de Dépôts et de Gestion Sa 0,05% 0,06% 0,38% 0,27% 0,43% 0,33% B@nca 24-7 Spa (2) 0,29% 0,16% 0,47% 0,27% 0,76% 0,43% UBI Banca International Sa (3) - - 0,15% 0,50% 0,15% 0,50% IW Bank Spa - - 0,04% 0,07% 0,04% 0,07% CBI Factor Spa 0,10% 0,18% 0,37% 0,38% 0,47% 0,56% BPU Esaleasing Spa 0,49% 0,35% 1,46% 0,76% 1,95% 1,11% SBS Leasing Spa 0,64% 0,51% 1,08% 2,01% 1,72% 2,52% CONSOLIDATED (*) 0,77% 0,69% 0,89% 0,72% 1,66% 1,41%

(*) The figures as at 30th June 2007 are pro-forma.

(1) The figures as at 30th June 2007 include the amounts for UBI Sim Spa merged on 1st January 2008. (2) Lending as at 30th June 2008 also included the amounts for the operations spun-of from SILF Spa with effect from 1st January 2008. For comparison purposes the figure as at 30th June 2007 includes the results of SILF Spa. (3) The figures as at 30th June 2007 include the amounts for BPU Banca International Sa, merged on 1st October 2007.

112 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Direct funding from customers

30.6.2008 30.6.2007 Change % change Figures in thousands of euro

Unione di Banche Italiane Scpa (*) 17.868.325 17.028.079 840.246 4,9% Banca Popolare di Bergamo Spa 21.094.825 20.777.136 317.689 1,5% Banco di Brescia Spa (1) 15.665.159 13.276.442 2.388.717 18,0% Banca Popolare Commercio e Industria Spa 7.907.229 7.232.251 674.978 9,3% Banca Regionale Europea Spa 7.456.676 7.035.201 421.475 6,0% Banca Popolare di Ancona Spa 7.017.999 6.545.459 472.540 7,2% Banca Carime Spa 7.435.792 6.783.587 652.205 9,6% Banca di Valle Camonica Spa 1.568.418 1.406.487 161.931 11,5% Banco di San Giorgio Spa 869.980 758.638 111.342 14,7% UBI Banca Private Investment Spa (2) 621.728 404.644 217.084 53,6% Centrobanca Spa 2.556.021 3.165.912 -609.891 -19,3% Banque de Dépôts et de Gestion Sa 277.289 320.949 -43.660 -13,6% B@nca 24-7 Spa 48.127 40.875 7.252 17,7% UBI Banca International Sa (3) 1.079.160 1.276.161 -197.001 -15,4% IW Bank Spa 993.971 951.971 42.000 4,4% CONSOLIDATED (*) 93.601.464 88.829.625 4.771.839 5,4%

Direct funding from customers includes amounts due to customers and securities issued, with the exclusion of bonds subscribed directly by companies in the Group. In the case of UBI Banca, those bonds issued by it on behalf of network banks to support their business, and which were sold on the market, were also excluded.

Direct funding was adjusted as follows for the following banks:

UBI Banca: 487,2 million euro (484 million euro as at 30th June 2007) Banca Popolare di Bergamo: 2.332,3 million euro Banco di Brescia: 1.223,1 million euro (100,1 million euro as at 30th June 2007) BPCI: 718,9 million euro (150,1 million euro as at 30th June 2007) BPA: 1.261,2 million euro (100,3 million euro as at 30th June 2007) Centrobanca: 862 million euro (854,6 million euro as at 30th June 2007) Banca Regionale Europea: 510,1 million euro Banca di Valle Camonica: 274,7 million euro Banco San Giorgio: 377 million euro (162,1 million euro as at 30th June 2007) B@nca 24-7: 3.165,6 million euro (2.310,3 million euro as at 30th June 2007)

(*) The figures as at 30th June 2007 are pro-forma.

(1) The figure as at 30th June 2008 includes the new issues of French certificates of deposit and commercial paper totalling 1.835 million euro. (2) The figure as at 30th June 2007 includes the amounts for UBI Sim Spa, merged on 1st January 2008. (3) The figure as at 30th June 2007 includes the amounts for BPU Banca International Sa, merged on 1st October 2007.

113 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Indirect funding from customers (at market prices)

30.6.2008 30.6.2007 Change % change Figures in thousands of euro

Unione di Banche Italiane Scpa 56 63 -7 -11,1% Banca Popolare di Bergamo Spa 22.293.222 24.909.219 -2.615.997 -10,5% Banco di Brescia Spa 15.002.763 18.907.128 -3.904.365 -20,7% Banca Popolare Commercio e Industria Spa 12.723.937 14.726.513 -2.002.576 -13,6% Banca Regionale Europea Spa 9.421.206 10.516.863 -1.095.657 -10,4% Banca Popolare di Ancona Spa 3.948.793 4.448.537 -499.744 -11,2% Banca Carime Spa 6.064.017 6.643.252 -579.235 -8,7% Banca di Valle Camonica Spa 796.118 1.004.521 -208.403 -20,7% Banco di San Giorgio Spa 775.161 844.705 -69.544 -8,2% UBI Banca Private Investment Spa (1) 4.255.224 5.183.517 -928.293 -17,9% Banque de Dépôts et de Gestion Sa 1.547.910 1.559.839 -11.929 -0,8% UBI Assicurazioni Vita Spa (2) 2.792.736 2.819.245 -26.509 -0,9% UBI Pramerica SGR Spa (3) 28.168.292 37.191.337 -9.023.045 -24,3% Capitalgest Alternative Investments SGR Spa 653.658 726.091 -72.433 -10,0% UBI Banca International Sa (4) 3.055.132 3.675.276 -620.144 -16,9% UBI Pramerica Alternative Investments SGR Spa 158.794 - 158.794 - IW Bank Spa 2.587.121 2.367.037 220.084 9,3% Aviva Vita Spa (5) 1.648.822 1.335.599 313.223 23,5% CONSOLIDATED 82.852.749 95.332.372 -12.479.623 -13,1%

Assets under management (at market prices)

30.6.2008 30.6.2007 Change % change Figures in thousands of euro

Unione di Banche Italiane Scpa 6 5 1 20,0% Banca Popolare di Bergamo Spa 11.912.898 13.789.883 -1.876.985 -13,6% Banco di Brescia Spa 8.120.935 10.824.363 -2.703.428 -25,0% Banca Popolare Commercio e Industria Spa 5.376.608 7.112.160 -1.735.552 -24,4% Banca Regionale Europea Spa 6.027.684 7.029.034 -1.001.350 -14,2% Banca Popolare di Ancona Spa 2.403.269 2.962.240 -558.971 -18,9% Banca Carime Spa 4.397.207 4.944.114 -546.907 -11,1% Banca di Valle Camonica Spa 455.989 643.922 -187.933 -29,2% Banco di San Giorgio Spa 262.803 323.193 -60.390 -18,7% UBI Banca Private Investment Spa (1) 3.418.650 4.226.420 -807.770 -19,1% Banque de Dépôts et de Gestion Sa 1.547.910 1.559.839 -11.929 -0,8% UBI Assicurazioni Vita Spa (2) 2.792.736 2.819.245 -26.509 -0,9% UBI Pramerica SGR Spa (3) 28.168.292 37.191.337 -9.023.045 -24,3% Capitalgest Alternative Investments SGR Spa 653.658 726.091 -72.433 -10,0% UBI Banca International Sa (4) 182.143 262.848 -80.705 -30,7% UBI Pramerica Alternative Investments SGR Spa 158.794 - 158.794 - IW Bank Spa 241.191 469.915 -228.724 -48,7% Aviva Vita Spa (5) 1.648.822 1.335.599 313.223 23,5% CONSOLIDATED 45.370.082 55.380.751 -10.010.669 -18,1%

The indirect funding from customers of individual companies is stated net of bonds held in custody issued by the companies themselves; consolidated indirect funding is stated net of bonds held in custody issued by Group member companies.

(1) The figure as at 30th June 2007 includes the amounts for UBI Sim Spa, merged on 1st January 2008. (2) The figure as at 30th June 2008 for UBI Assicurazione Vita Spa is stated for a 100% ownership interest even if that interest was reduced to 49,99% on 18th June 2008, because the distribution of the products takes place entirely through the channels consisting of the network banks of the UBI Group. (3) The figures for both periods include the amounts for the asset management operations of Capitalgest SGR contributed on 18th January 2008. (4) The figures as at 30th June 2007 include the amounts for BPU Banca International, merged on 1st October 2007. (5) The figures relating to Aviva Vita Spa, jointly held on a 50-50 basis with Aviva Spa, are stated according to the percentage of ownership (50%).

114 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Information on the principal banks in the Group

BANCA POPOLARE DI BERGAMO SPA

30.6.2008 30.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 20.828.881 22.751.453 -8,5% 21.390.548 Direct funding (*) 23.427.090 20.777.136 12,8% 20.667.506 Net interbank position 4.493.167 -216.083 n.s. 1.143.691 Financial assets held for trading 84.675 129.611 -34,7% 62.271 Shareholders’ equity (excluding profit) 1.446.526 1.324.134 9,2% 1.350.979 Total assets 26.676.718 26.600.164 0,3% 25.569.921 Indirect funding from customers (including insurance) 22.293.222 24.909.219 -10,5% 24.240.535 of which: assets under management 11.912.898 13.789.883 -13,6% 12.787.253 Income statement Net interest income 404.188 355.040 13,8% 741.282 Net commission income 156.724 162.677 -3,7% 328.350 Net profit from trading, hedging and disposal/repurchase activities (**) 635 15.552 -95,9% 17.021 Other net operating income/(expense) 11.417 11.704 -2,5% 23.899 Operating income 572.964 544.973 5,1% 1.110.552 Staff costs (***) (144.937) (120.254) 20,5% (267.668) Other administrative expenses (103.384) (102.423) 0,9% (209.697) Net impairment losses on property, plant and equipment and intangible assets (1.590) (1.926) -17,4% (3.776) Operating costs (249.911) (224.603) 11,3% (481.141) Net operating income 323.053 320.370 0,8% 629.411

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (17.389) (17.398) -0,1% (57.699) Profit/loss on the disposal of equity investments (5) (15) -66,7% (25) Profit (loss) on continuing operations before tax 305.659 302.957 0,9% 571.687 Taxes on income for the period for continuing operations (98.894) (123.481) -19,9% (235.747) Integration costs (3.690) (18.063) -79,6% (14.200) of which: staff costs (473) -26.960 -98,2% (19.880) other administrative expenses (4.806) - n.s. (1.425) net impairment losses on property, plant and equipment and intangible assets (146) - n.s. - taxes 1.735 8.897 -80,5% 7.105 After tax profit (loss) from discontinued operations - - n.s. 87.064 Profit for the period 203.075 161.413 25,8% 408.804 Other information Number of branches 358 371 -13 357 Number of employees 3.601 3.834 -233 3.682 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 28,08% 24,38% 30,26% Cost/income ratio (operating costs/operating income) 43,62% 41,21% 43,32% Net non performing loans/net lending to customers 0,65% 0,48% 0,57% Net impaired loans/net lending to customers 0,57% 0,48% 0,62%

The balance sheet and income statement figures for 30th June 2007 include those for the 11 branches sold to Banca Popolare di Vicenza in December 2007 for compliance with Antitrust Authority instructions and the 4 branches subject to switching to BPCI again in December 2007.

(*) Including bonds subscribed by the Parent Bank amounting to 2.332,3 million euro as at 30th June 2008. (**) The item to 30th June 2007 includes the proceeds from the disposal of Parmalat shares amounting to 11,9 million euro. (***) The item to 30th June 2007 includes the positive effects in the income statement of the new staff severance payment legislation amounting to 21,6 million euro. The item was also increased by 7,1 million euro with respect to the figures published in the consolidated half year financial statements as at and for the period ended 30th June 2007, in order to take account, on an accruals basis, of the amendment to Art. 31 of the Corporate By-laws concerning staff pensions and social security.

115 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f BANCO DI BRESCIA SPA

30.6.2008 30.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 15.069.513 14.831.406 1,6% 14.715.570 Direct funding (*) 16.888.302 13.376.576 26,3% 13.629.572 Net interbank position 3.291.287 -504.761 n.s. 34.667 Financial assets held for trading 147.066 143.682 2,4% 113.610 Available-for-sale financial assets 29.697 56.650 -47,6% 43.677 Shareholders’ equity (excluding profit) 1.004.870 879.534 14,3% 877.794 Total assets 21.268.500 17.826.655 19,3% 18.330.487 Indirect funding from customers (including insurance) 15.002.763 18.907.128 -20,7% 17.658.701 of which: assets under management 8.120.935 10.824.363 -25,0% 9.751.356 Income statement Net interest income 251.101 233.185 7,7% 478.176 Dividend and similar income 3.535 3.244 9,0% 3.379 Net commission income 101.386 113.773 -10,9% 219.080 Net profit from trading, hedging and disposal/repurchase activities 4.958 4.992 -0,7% 7.034 Other net operating income/(expense) 11.810 10.295 14,7% 26.045 Operating income 372.790 365.489 2,0% 733.714 Staff costs (**) (92.386) (90.411) 2,2% (183.025) Other administrative expenses (73.811) (73.743) 0,1% (150.001) Net impairment losses on property, plant and equipment and intangible assets (5.568) (5.338) 4,3% (10.910) Operating costs (171.765) (169.492) 1,3% (343.936) Net operating income 201.025 195.997 2,6% 389.778 Net impairment losses on loans, other financial assets and provisions for liabilities and charges (***) (25.975) (12.487) 108,0% (49.625) Profit/loss on the disposal of equity investments 68 270 -74,8% 883 Profit (loss) on continuing operations before tax 175.118 183.780 -4,7% 341.036 Taxes on income for the period for continuing operations (47.607) (76.733) -38,0% (141.955) Integration costs (5.153) (11.752) -56,2% (10.186) of which: staff costs (1.439) (17.540) -91,8% (15.034) other administrative expenses (5.939) - n.s. (183) net impairment losses on property, plant and equipment and intangible assets (141) - n.s. - taxes 2.366 5.788 -59,1% 5.031 After tax profit (loss) from discontinued operations - - - 130.148 Profit for the period 122.358 95.295 28,4% 319.043 Other information Number of branches 351 380 -29 348 Number of employees 2.743 2.869 -126 2.726 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 24,35% 21,67% 36,35% Cost/income ratio (operating costs/operating income) 46,08% 46,37% 46,88% Net non performing loans/net lending to customers 0,62% 0,56% 0,59% Net impaired loans/net lending to customers 0,58% 0,47% 0.54%

The balance sheet and income statement figures for 30th June 2007 include those for the 32 branches sold to Banca Popolare di Vicenza in December 2007 for compliance with Antitrust Authority instructions.

(*) Including bonds subscribed by the Parent Bank amounting to 1.223,1 million euro as at 30th June 2008 (100,1 million euro as at 30th June 2007 and 100,2 million euro as at 31st December 2007). The figure as at 30th June 2008 also includes the new issues of French certificates of deposit and commercial paper totalling 1.835 million euro. (***) The item to 30th June 2007 includes the positive effects in the income statement of the new staff severance payment legislation amounting to 4,9 million euro. (***) The item as at 30th June 2007 includes the write down of the interest held in Hopa Spa amounting to 6,4 million euro (19 million euro as at 31st December 2007).

116 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f BANCA POPOLARE COMMERCIO E INDUSTRIA SPA

30.6.200830.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 9.568.120 9.067.543 5,5% 9.548.761 Direct funding (*) 8.626.173 7.382.386 16,8% 8.009.460 Net interbank position 118.796 -818.462 n.s. -577.903 Financial assets held for trading 23.453 22.149 5,9% 21.520 Available-for-sale financial assets 6.169 172 n.s. 171 Shareholders’ equity (excluding profit) 828.321 728.564 13,7% 710.635 Total assets 12.342.143 10.679.684 15,6% 11.542.941 Indirect funding from customers (including insurance) 12.723.937 14.726.513 -13,6% 13.645.035 of which: assets under management 5.376.608 7.112.160 -24,4% 6.195.177 Income statement Net interest income 179.162 170.215 5,3% 346.413 Dividend and similar income 4 - n.s. 2 Net commission income 82.674 94.204 -12,2% 181.930 Net profit from trading, hedging and disposal/repurchase activities 3.693 789 368,1% (1.715) Other net operating income/(expense) 2.062 2.617 -21,2% 5.455 Operating income 267.595 267.825 -0,1% 532.085 Staff costs (**) (77.387) (75.107) 3,0% (147.386) Other administrative expenses (61.379) (63.734) -3,7% (129.833) Net impairment losses on property, plant and equipment and intangible assets (1.618) (1.900) -14,8% (3.707) Operating costs (140.384) (140.741) -0,3% (280.926) Net operating income 127.211 127.084 0,1% 251.159

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (35.480) (29.651) 19,7% (91.367) Profit/loss on the disposal of equity investments - - - (31) Profit (loss) on continuing operations before tax 91.731 97.433 -5,9% 159.761 Taxes on income for the period for continuing operations (33.787) (42.858) -21,2% (80.265) Integration costs (3.181) (8.475) -62,5% (10.400) of which: staff costs (1.171) (12.649) -90,7% (12.120) other administrative expenses (3.363) - n.s. (3.691) net impairment losses on property, plant and equipment and intangible assets (87) - n.s. - taxes 1.440 4.174 -65,5% 5.411 After tax profit (loss ) on discontiuned operations (***) (10.875) - n.s. 114.766 Profit for the period 43.888 46.100 -4,8% 183.862 Number of branches 213 223 -10 208 Number of employees 2.095 2.133 -38 2.034 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 10,60% 12,66% 25,87% Cost/income ratio (operating costs/operating income) 52,46% 52,55% 52,80% Net non performing loans/net lending to customers 1,34% 1,21% 1,28% Net impaired loans/net lending to customers 1,00% 1,07% 1,00%

The balance sheet and income statement figures for 30th June 2007 include those for the 18 branches sold to Banca Popolare di Vicenza in 2007 for compliance with Antitrust Authority instructions and the 9 branches subject to switching to BPA in July 2007. The balance sheet and income statement figures for 30th June 2008, however, include those for the 4 branches subjected to switching from BPB in December 2007.

(*) Including bonds subscribed by the Parent Bank amounting to 718,9 million euro as at 30th June 2008 (150,1 million euro as at 30th June 2007 and 150 million euro as at 31st December 2007) (**) The item to 30th June 2007 includes the positive effects in the income statement of the new staff severance payment legislation amounting to 2,4 million euro. (***) The item to 30th June 2008 relates to the adjustment of 10,9 million euro to the price of the branches sold to Banca Popolare di Vicenza.

117 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f BANCA REGIONALE EUROPEA SPA

30.6.2008 30.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 7.956.467 7.880.327 1,0% 7.837.512 Direct funding (*) 7.966.729 7.035.201 13,2% 7.146.648 Net interbank position 818.797 -27.866 n.s. 138.917 Financial assets held for trading 58.923 85.613 -31,2% 74.206 Available-for-sale financial assets 19.174 31.157 -38,5% 17.679 Shareholders’ equity (excluding profit) 928.459 924.984 0,4% 957.389 Total assets 10.714.308 10.139.961 5,7% 10.161.691 Indirect funding from customers (including insurance) 9.421.206 10.516.863 -10,4% 10.201.013 of which: assets under management 6.027.684 7.029.034 -14,2% 6.647.522 Income statement Net interest income 154.058 146.165 5,4% 298.866 Dividend and similar income 6.635 7.502 -11,6% 8.268 Net commission income 66.589 72.230 -7,8% 142.844 Net profit from trading, hedging and disposal/repurchase activities 1.084 (1.621) n.s. (2.276) Other net operating income/(expense) 5.962 2.157 176,4% 7.363 Operating income 234.328 226.433 3,5% 455.065 Staff costs (**) (74.361) (69.270) 7,3% (141.703) Other administrative expenses (50.415) (50.974) -1,1% (101.924) Net impairment losses on property, plant and equipment and intangible assets (4.279) (4.131) 3,6% (8.445) Operating costs (129.055) (124.375) 3,8% (252.072) Net operating income 105.273 102.058 3,2% 202.993

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (11.691) (14.569) -19,8% (29.873) Profit/loss on the disposal of equity investments (***) - 8.772 -100,0% 577 Profit (loss) on continuing operations before tax 93.582 96.261 -2,8% 173.697 Taxes on income for the period for continuing operations (28.785) (39.801) -27,7% (73.109) Integration costs (3.428) (8.051) -57,4% (7.144) of which: staff costs (809) (12.017) -93,3% (10.554) other administrative expenses (4.114) - n.s. (118) net impairment losses on property, plant and equipment and intangible assets (89) - n.s. - taxes 1.584 3.966 -60,1% 3.528 Profit for the period 61.369 48.409 26,8% 93.444 Other information Number of branches 292 291 1 291 Number of employees 2.108 2.156 -48 2.110 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 13,22% 10,47% 9,76% Cost/income ratio (operating costs/operating income) 55,07% 54,93% 55,39% Net non performing loans/net lending to customers 1,17% 1,07% 1,12% Net impaired loans/net lending to customers 1,13% 0,82% 1,06%

(*) Including bonds subscribed by the Parent Bank amounting to 510,1 million euro as at 30th June 2008. (***) The item to 30th June 2007 includes the positive effects in the income statement of the new staff severance payment legislation amounting to 2,3 million euro. (***) The item to 30th June 2007 includes a capital gain of 8,6 million euro on the sale to the Parent Bank of the depository bank operations for the Grifogest funds.

118 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f BANCA POPOLARE DI ANCONA SPA

30.6.200830.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 7.726.299 6.890.394 12,1% 7.523.958 Direct funding (*) 8.279.206 6.645.779 24,6% 7.200.155 Net interbank position 1.339.131 253.203 428,9% 251.067 Financial assets held for trading 28.152 93.618 -69,9% 19.665 Available-for-sale financial assets 12.835 9.230 39,1% 9.097 Shareholders’ equity (excluding profit) 767.733 772.371 -0,6% 764.224 Total assets 9.808.478 8.118.012 20,8% 8.742.484 Indirect funding from customers (including insurance) 3.948.793 4.448.537 -11,2% 4.296.042 of which: assets under management 2.403.269 2.962.240 -18,9% 2.751.213 Income statement Net interest income 165.165 147.581 11,9% 308.296 Dividend and similar income 10.935 18.092 -39,6% 18.131 Net commission income 51.636 53.028 -2,6% 110.343 Net profit from trading, hedging and disposal/repurchase activities 977 (334) n.s. (1.753) Other net operating income/(expense) 4.668 4.946 -5,6% 4.254 Operating income 233.381 223.313 4,5% 439.271 Staff costs (**) (71.425) (66.858) 6,8% (134.542) Other administrative expenses (47.491) (44.086) 7,7% (92.888) Net impairment losses on property, plant and equipment and intangible assets (6.304) (7.302) -13,7% (15.123) Operating costs (125.220) (118.246) 5,9% (242.553) Net operating income 108.161 105.067 2,9% 196.718

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (29.248) (22.709) 28,8% (70.543) Profit/loss on the disposal of equity investments (***) 73.607 14 n.s. 742 Profit (loss) on continuing operations before tax 152.520 82.372 85,2% 126.917 Taxes on income for the period for continuing operations (26.122) (30.211) -13,5% (61.983) Integration costs (4.091) (9.390) -56,4% (11.415) of which: staff costs (448) (14.015) -96,8% (16.570) other administrative expenses (5.495) - n.s. (507) net impairment losses on property, plant and equipment and intangible assets (77) - n.s. - taxes 1.929 4.625 -58,3% 5.662 Profit for the period 122.307 42.771 186,0% 53.519 Other information Number of branches 258 250 8 259 Number of employees 1.865 1.862 3 1.876 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 31,86% 11,08% 7,00% Cost/income ratio (operating costs/operating income) 53,65% 52,95% 55,22% Net non performing loans/net lending to customers 1,44% 1,23% 1,43% Net impaired loans/net lending to customers 2,06% 1,21% 1,25%

The balance sheet and income statement figures for 30th June 2007 include figures referred to the 4 branches subjected to switching to Banca Carime in July 2007. The balance sheet and income statement figures for 30th June 2008, however, include thr figures referred to the 9 branches subjected to switching from BPCI again in July 2007.

(*) Including bonds subscribed by the Parent Bank amounting to 1.261,2 million euro as at 30th June 2008 (100,3 million euro as at 30th June 2007 and 101,7 million euro as at 31st December 2007) (**) The item to 30th June 2007 includes the positive effects in the income statement of the new staff severance payment legislation amounting to 2 million euro. (***) The item to 30th June 2008 relates to the profit on the disposal of part of the interest held in UBI Pramerica.

119 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f BANCA CARIME SPA

30.6.200830.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 4.325.606 3.504.076 23,4% 3.955.536 Direct funding 7.435.792 6.783.587 9,6% 7.468.127 Net interbank position 4.142.586 3.662.575 13,1% 4.425.626 Financial assets held for trading 4.081 677.520 -99,4% 30.475 Available-for-sale financial assets 6.194 6.904 -10,3% 7.371 Shareholders’ equity (excluding profit) 1.545.451 1.542.620 0,2% 1.539.005 Total assets 10.060.761 9.436.135 6,6% 9.654.921 Indirect funding from customers (including insurance) 6.064.017 6.643.252 -8,7% 6.273.665 of which: assets under management 4.397.207 4.944.114 -11,1% 4.645.626 Income statement Net interest income 166.720 143.769 16,0% 303.441 Dividend and similar income 113 6.572 -98,3% 6.638 Net commission income 64.699 63.049 2,6% 123.390 Net profit from trading, hedging and disposal/repurchase activities (668) (11.016) -93,9% (13.850) Other net operating income/(expense) 2.297 1.993 15,3% 6.078 Operating income 233.161 204.367 14,1% 425.697 Staff costs (*) (80.990) (77.794) 4,1% (152.404) Other administrative expenses (52.742) (53.291) -1,0% (107.418) Net impairment losses on property, plant and equipment and intangible assets (6.595) (6.571) 0,4% (13.797) Operating costs (140.327) (137.656) 1,9% (273.619) Net operating income 92.834 66.711 39,2% 152.078

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (5.673) (5.663) 0,2% (15.730) Profit/loss on the disposal of equity investments - 59 -100,0% 58 Profit (loss) on continuing operations before tax 87.161 61.107 42,6% 136.406 Taxes on income for the period for continuing operations (13.790) (24.376) -43,4% (52.842) Integration costs (3.745) (31.330) -88,0% (35.353) of which: staff costs (1.805) (46.761) -96,1% (52.073) other administrative expenses (3.584) - n.s. (741) net impairment losses on property, plant and equipment and intangible assets (20) - n.s. - taxes 1.664 15.431 n.s. 17.461 After tax profit (loss ) on discontiuned operations (**) (154) 16.584 n.s. 17.650 Profit for the period 69.472 21.985 216,0% 65.861 Other information Number of branches 315 309 6 311 Number of employees 2.533 2.618 -85 2.587 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 8,99% 2,85% 4,28% Cost/income ratio (operating costs/operating income) 60,18% 67,36% 64,28% Net non performing loans/net lending to customers 0,57% 0,49% 0,49% Net impaired loans/net lending to customers 0,76% 0,73% 0,69%

The balance sheet and income statement figures for 30th June 2007 include the figures referred to the 2 branches subjected to switching to BPA in July 2007. The balance sheet and income statement figures for 30th June 2008, however, include the figures referred to the 4 branches subjected to switching from BPA, again in July 2007.

(*) The item to 30th June 2007 includes the positive effects in the income statement of the new staff severance payment legislation amounting to 8,1 million euro. (**) The item to 30th June 2007 relates to the profit on the sale of branches to Banca Popolare Pugliese.

120 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f CENTROBANCA SPA

30.6.200830.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 6.865.045 5.962.121 15,1% 6.173.656 Direct funding (*) 3.418.012 4.020.506 -15,0% 3.957.962 Net interbank position (3.318.854) (3.424.663) -3,1% (2.389.301) Financial assets held for trading 351.207 522.818 -32,8% 366.725 Financial assets at fair value 58.851 1.611.878 -96,3% 352.439 Available-for-sale financial assets 481.345 412.251 16,8% 445.034 Shareholders’ equity (excluding profit) 568.522 574.640 -1,1% 561.913 Total assets 8.554.980 9.184.090 -6,8% 8.050.960 Income statement Net interest income 51.927 48.064 8,0% 93.455 Dividend and similar income 4.330 7.837 -44,7% 7.888 Net commission income 19.472 11.250 73,1% 29.051 Net profit from trading, hedging and disposal/repurchase activities (**) 16.369 14.684 11,5% 23.803 Other net operating income/(expense) 384 2.783 -86,2% 3.452 Operating income 92.482 84.618 9,3% 157.649 Staff costs (17.956) (14.043) 27,9% (29.309) Other administrative expenses (11.366) (9.580) 18,6% (21.389) Net impairment losses on property, plant and equipment and intangible assets (499) (502) -0,6% (995) Operating costs (29.821) (24.125) 23,6% (51.693) Net operating income 62.661 60.493 3,6% 105.956

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (5.348) 2.174 n.s. (8.204) Profit/loss on the disposal of equity investments (***) - 10.510 -100,0% 10.517 Profit (loss) on continuing operations before tax 57.313 73.177 -21,7% 108.269 Taxes on income for the period for continuing operations (12.666) (24.503) -48,3% (43.470) Integration costs (324) - n.s. - of which: staff costs - - - - other administrative expenses (480) - n.s. - net impairment losses on property, plant and equipment and intangible assets - - - - taxes 156 15.431 n.s. - Profit for the period 44.323 48.674 -8,9% 64.799 Other information Number of branches 77- 7 Number of employees 324 313 11 310 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 15,59% 16,94% 11,53% Cost/income ratio (operating costs/operating income) 32,25% 28,51% 32,79% Net non performing loans/net lending to customers 0,55% 0,82% 0,61% Net impaired loans/net lending to customers 1,13% 0,58% 0,67%

(*) Including bonds subscribed by the Parent Bank amounting to 862 million euro as at 30th June 2008 (854,6 million euro as at 30th June 2007 and 861,3 million euro as at 31st December 2007). (**) The item to 30th June 2008 includes the gain realised on the disposal of the investment in Radici Film amounting to 16,4 million euro while the item to 30th June 2007 included the proceeds from the disposal of Parmalat shares amounting to 2,8 million euro and from the disposal of loans amounting to 4,8 million euro. (***) The item to 30th June 2007 relates to the disposal of IW Bank shares.

121 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f B@NCA 24-7 SPA

30.6.200830.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 7.511.622 3.635.058 106,6% 4.403.671 Direct funding (*) 3.213.703 2.351.179 36,7% 3.168.457 Net interbank position (3.873.833) (1.107.710) 249,7% (960.123) Shareholders’ equity (excluding profit) 311.202 163.878 89,9% 243.877 Total assets 7.874.301 3.704.433 112,6% 4.547.482 Income statement Net interest income 54.646 22.208 146,1% 44.674 Net commission income 10.284 6.393 60,9% 8.441 Net profit from trading, hedging and disposal/repurchase activity 4.801 917 n.s. 1.745 Other net operating income/(expense) 10.654 5.206 104,6% 12.159 Operating income 80.385 34.724 131,5% 67.019 Staff costs (6.863) (3.989) 72,0% (8.204) Other administrative expenses (18.698) (10.153) 84,2% (20.117) Net impairment losses on property, plant and equipment and intangible assets (154) (13) n.s. (24) Operating costs (25.715) (14.155) 81,7% (28.345) Net operating income 54.670 20.569 165,8% 38.674 Net impairment losses on loans, other financial assets and provisions for liabilities and charges (**) (27.423) (5.863) n.s. (17.746) Profit (loss) on continuing operations before tax 27.247 14.706 85,3% 20.928 Taxes on income for the period for continuing operations (10.012) (5.720) 75,0% (8.588) Integration costs (364) - n.s. - of which: staff costs - - - - other administrative expenses (538) - n.s. - net impairment losses on property, plant and equipment and intangible assets - - - - taxes 174 - - - Profit for the period 16.871 8.986 87,7% 12.340 Other information Number of branches 11- 1 Number of employees 140 53 87 58 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 10,84% 10,97% 5,06% Cost/income ratio (operating costs/operating income) 31,99% 40,76% 42,29% Net non performing loans/net lending to customers 0,29% 0,16% 0,16% Net impaired loans/net lending to customers 0,47% 0,27% 0,52%

The comparison balance sheet and income state figures for 30th June 2007 and 31st December 2007 relate to Banca 24-7 only, while those for June 2008 include the SILF operations purchased on 1st January 2008.

(*) Including bonds subscribed by the Parent Bank amounting to 3.165,6 million euro as at 30th June 2008 (2.310,3 million euro as at 30th June 2007 and 3.145,5 million euro as at 31st December 2007). (**) The net impairment losses for SILF as at 30th June 2007, not included in the figure for the end of June 2007 reported in the table, amounted to 8,9 million euro.

122 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f IW BANK SPA

30.6.200830.6.2007 % change 31.12.2007 Figures in thousands of euro Balance sheet Loans to customers 95.869 63.003 52,2% 99.493 Direct funding 993.971 951.971 4,4% 1.072.677 Net interbank position 351.235 329.288 6,7% 328.681 Financial assets held for trading 35.862 42.352 -15,3% 27.224 Available-for-sale financial assets 615.172 586.113 5,0% 645.582 Shareholders’ equity (excluding profit) 49.390 54.101 -8,7% 51.629 Total assets 2.305.492 1.268.707 81,7% 1.855.367 Indirect funding from customers (including insurance) 2.587.121 2.367.037 9,3% 2.568.634 of which: assets under management 241.191 469.915 -48,7% 494.027 Income statement Net interest income 16.181 8.295 95,1% 18.794 Net commission income 16.221 18.231 -11,0% 35.837 Net profit from trading, hedging and disposal/repurchase activities 1.896 1.771 7,1% 3.769 Other net operating income/(expense) 1.822 35 n.s. 930 Operating income 36.120 28.332 27,5% 59.330 Staff costs (8.988) (6.983) 28,7% (15.304) Other administrative expenses (12.562) (10.093) 24,5% (21.615) Net impairment losses on property, plant and equipment and intangible assets (2.624) (1.712) 53,3% (3.702) Operating costs (24.174) (18.788) 28,7% (40.621) Net operating income 11.946 9.544 25,2% 18.709

Net impairment losses on loans, other financial assets and provisions for liabilities and charges (658) (628) 4,8% (996) Profit (loss) on continuing operations before tax 11.288 8.916 26,6% 17.713 Taxes on income for the period for continuing operations (4.280) (3.935) 8,8% (6.512) Profit for the period 7.008 4.981 40,7% 11.201 Other information Number of branches 22- 2 Number of employees 219 155 64 191 Financial ratios R.O.E. [profit for the period/equity (excluding profit for the period)] 28,38% 18,41% 21,70% Cost/income ratio (operating costs/operating income) 66,93% 66,31% 68,47% Net non performing loans/net lending to customers - - - Net impaired loans/net lending to customers 0,04% 0,07% 0,05%

123 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Segment reporting

Distribution by business segment: income statement Figures in thousands of euro

Total (as in mandatory Banks and Investment Central units Other Consolidation consolidated item/business segment Total SPEs Banking (UBI Banca) companies adjustments financial statements to 30.6.2008) Net interest income 1.394.747 51.958 -112.822 173.038 1.506.921 -36.106 1.470.815 Net commission income 549.929 19.515 6.749 104.112 680.305 -60.475 619.830 Other expense/income 31.361 20.699 877.306 19.297 948.663 -869.296 79.367

Gross income 1.976.037 92.172 771.233 296.447 3.135.889 -965.877 2.170.012 Net impairment losses on loans and financial assets -111.463 -2.500 -25 -36.700 -150.688 - -150.688

Net financial operating income 1.864.574 89.672 771.208 259.747 2.985.201 -965.877 2.019.324 Net result on insurance operations - - - 7.793 7.793 383 8.176

Net income from financial and insurance operations 1.864.574 89.672 771.208 267.540 2.992.994 -965.494 2.027.500 Administrative expenses -1.094.480 -30.871 -178.662 -339.967 -1.643.980 341.417 -1.302.563

Net provisions for liabilities and charges -17.989 -2.872 -1.376 -3.716 -25.953 33 -25.920 Net impairment losses on property, plant and equipment and intangible assets -24.358 -499 -32.104 -35.764 -92.725 -37.044 -129.769 Other operating income / (expense) 102.611 1.451 96.310 263.135 463.507 -332.915 130.592

Operating costs -1.034.216 -32.791 -115.832 -116.312 -1.299.151 -28.509 -1.327.660 Profits (losses) of equity investments 73.577 - 18.367 -6 91.938 -77.740 14.198 Net impairment losses on goodwill ------Profits (losses) on disposal of investments 92 - -16 32.228 32.304 46.788 79.092 Profit (loss) on continuing operations before tax 904.027 56.881 673.727 183.450 1.818.085 -1.024.955 793.130

Distribution by business segment: balance sheet Figures in thousands of euro

Total (as in mandatory Banks and Investment Central units Other Consolidation consolidated item/business segment Total SPEs Banking (UBI Banca) companies adjustments financial statements as at 30.6.2008) Loans to banks 21.309.536 547.396 27.526.361 3.411.664 52.794.957 -49.573.216 3.221.741 Loans to customers 71.237.232 6.911.691 9.244.410 19.462.684 106.856.017 -10.349.903 96.506.114 Equity investments 211.871 5.097 11.709.110 159.515 12.085.593 -11.854.682 230.911 Other assets 5.094.976 1.147.423 9.654.347 2.336.433 18.233.179 2.526.087 20.759.266

Total assets 97.853.615 8.611.607 58.134.228 25.370.296 189.969.746 -69.251.714 120.718.032 Due to banks 7.086.840 3.856.362 26.641.509 14.860.422 52.445.133 -46.266.078 6.179.055 Due to customers 45.594.500 8.267 3.788.211 3.288.481 52.679.459 -1.494.179 51.185.280 Securities issued 32.427.540 3.465.210 14.567.300 4.454.220 54.914.270 -12.498.086 42.416.184 Other liabilities and shareholders’ equity 12.744.735 1.281.768 13.137.208 2.767.173 29.930.884 -8.993.371 20.937.513 Total liabilities 97.853.615 8.611.607 58.134.228 25.370.296 189.969.746 -69.251.714 120.718.032

The segment reporting for UBI Banca Group was refined during the first half of the year with regard to the presentation by business segment where these are identified for primary reporting on the basis of the legal entities of the Group (network banks and SPE’s, investment banking, central units, other companies). In addition to this presentation, used for the interim financial reports, data is also given by commercial business unit for the network banks in annual reports.

124 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Transactions with related parties

For the purpose of a definition of a related party, Art. 2, paragraph 1, letter h) of the Issuers’ Regulations cites the definition contained in the international accounting standard on related party disclosures (IAS 24).

In accordance with the regulations cited a party is considered to be related to the issuer if: a) it directly or indirectly controls, is controlled by or is under common control with the issuer; or it holds an interest that allows it to exercise significant influence over the issuer or joint control over the issuer; b) it is an associate of the issuer (as defined in IAS 28 - investments in associates); c) it is a joint venture in which the issuer is a venturer; d) he/she is a senior manager with strategic responsibilities of the issuer or of its parent, where a senior manager with strategic responsibility is intended as meaning those who have power and responsibility for the planning, management and control of the activities of the issuer including the directors of the issuer; e) he/she is a close member of the family of one of the individuals referred to in (a) or (d) (close family members are intended as meaning those who are potentially able to influence an individual related to the issuer or be influenced by him/her in their relations with the issuer); f) the party is an entity that is controlled, jointly controlled or significantly influenced by any individual referred to in (d) or (e) or these individuals hold significant voting power in such entity, either directly or indirectly; g) it is a pension fund for the employees of the issuer or of any entity related to it.

In compliance with the regulations in force, we report that all transactions carried out by the Parent Bank with related parties were conducted in observance of correct principles both in substance and form under conditions analogous to those applied for transactions with independent parties.

Transactions concerning consolidated investments have already been reported in the sections “The scope of consolidation” (for those already completed) and “Strategic lines of development” (for those currently being implemented), which may therefore be consulted.

The Parent Bank and its subsidiary UBI Sistemi e Servizi Scpa provide Group member companies with a series of services, governed by intragroup contracts drawn up in accordance with the principles of consistency, transparency and uniformity in line with the organisational model of the Group. Under this model, strategic, and management activities are centralised at UBI Banca and technical and operational activities in UBI Sistemi e Servizi Scpa. The prices agreed for the services provided under the contracts were determined on the basis of market prices or, where appropriate reference parameters cannot be found in the marketplace, in accordance with the particular nature of the services provided, on the basis of the cost incurred.

The main intragroup contracts existing at the end of the first half included those which implement the centralisation of activities in the Governance and Business Areas of the Parent Bank and they involved the Parent Bank and the main banks in the Group (Banca Popolare di Bergamo Spa, Banca Popolare Commercio e Industria Spa, Banca Carime Spa, Banca Popolare di Ancona Spa, Banca Regionale Europea Spa, Banco di Brescia Spa, Banca di Valle Camonica Spa, Banco di San Giorgio Spa, UBI Banca Private Investment Spa) and also contracts to implement the “national tax consolidation” (in accordance with articles 117 to 129 of Presidential Decree No. 917/1986, the consolidated law on income tax) concluded by the Parent Bank.

125 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Intragroup contracts also existed to implement the centralisation at UBI Sistemi e Servizi of support activities for the principal companies in the UBI Group.

Finally we report in relation to transactions between companies in the Group and all of its related parties, that no atypical and/or unusual transactions were performed; furthermore, no transactions of that type were even performed with counterparties that were not related parties. Atypical and/or unusual transactions - as indicated in Consob Communications No. 98015375 of 27th February 1998 and No. 102564 of 6th April 2001 - are intended as all those transactions which because of their significance/importance, the nature of the counterparties, the content of the transaction (even in relation to ordinary operations), the way in which the transfer price is decided and the timing of the event (close to the end of the financial year) might give rise to doubts concerning: the correctness/completeness of the information in the financial statements, a conflict of interests, the security of the companies assets and the rights of minority shareholders.

* * *

Finally the CONSOB (Italian securities market authority) published a consultation document last April on regulations governing related parties, to implement the authorisation contained in Art. 2391 bis of the Italian Civil code, introduced in 2004. In laying down specific new regulations for transactions with related parties performed by companies which resort to risk capital that article does in fact delegate regulatory power to the CONSOB to define general principles on the issue of transparency and integrity in terms of both substance and procedures for these transactions. In its propsosals for regulations, the CONSOB (Italian securities market authority) has identified the general principles to discipline decision-making responsibility, motivations and the necessary documentation for transactions performed with related parties. The consultation ended on 30th June and the CONSOB is therefore currently examining the observations it received.

126 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Transactions with related parties – principal balance sheet items

Financial Financial assets Loans to Due to Due to Securities liabilities held for held for trading customers banks customers issued trading Figures in thousands of euro Associates - 79.285 - 168.391 284.816 - Senior managers (2) - 553 - 14.523 - - Other related parties (3) - 143.748 - 38.571 235 - Total - 223.586 - 221.485 285.051 -

Transactions with related parties - percentage of consolidated financial statement items

Financial Financial assets Loans to Due to Due to banks Securities issued liabilities held held for trading customers customers for trading Figures in thousands of euro With related parties (a) - 223.586 - 221.485 285.051 - Total (b) 2.275.860 96.506.114 6.179.055 51.185.280 42.416.184 794.184 Percentage (a/b*100) - 0,23% - 0,43% 0,67% -

Transactions with related parties – principal income statement items

Net commission Administrative Operating Net interest income expenses * income/expenses Figures in thousands of euro Associates -5.896 1.245 -69 1.388 Senior managers (2) -601 25 -8.900 21 Other related parties (3) 3.236 163 -346 -36 Total -3.261 1.433 -9.315 1.373

Transactions with related parties - percentage of consolidated financial statement items

Net commission Administrative Net interest Operating income/expenses income expenses (1) Figures in thousands of euro With related parties (a) -3.261 1.433 -9.315 1.373 Total (b) 1.470.815 619.830 -1.302.563 130.592 Percentage (a/b*100) 0,22% 0,23% 0,72% 1,05%

* These include staff costs and other administrative expenses. (1) A “senior manager” is intended as meaning “a manager with strategic responsibilities of the entity or of its parent, where a manager with strategic responsibility is intended as meaning those who have power and responsibility for the planning, management and control of the activities of the entity including its directors”; (2) These are those indicated above under letters e), and f).

127 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Principal balance sheet items of UBI Banca Scpa with companies subject to control and joint control as at 30th June 2008

Financial assets held Available-for-sale Guarantees Loans to other banks Loans to customers Other assets Due to banks Due to customers Securities issued Other liabilities for trading financial assets granted Figures in thousands of euro

Fully consolidated companies 52.900 52.256 26.224.708 8.700.661 223.130 21.551.346 612.625 156.001 157.414 4.931.574 Albenza 2 Srl Albenza 3 Srl Albenza Srl BDG Singapore Pte Ltd B@nca 24-7 Spa 7.019.605 14.452 295 5.035 112.352 Banca Carime Spa 244.696 119 4.451.263 Banca di Valle Camonica Spa 619.573 5.534 523.345 2.566 76.387 Banca Lombarda Preferred Capital Company LLC Banca Lombarda Preferred Security Trust UBI Banca Private Investment Spa 2.708 3 300.059 265 BPCI Capital Trust BPCI Funding LLC 121.514 123.350 Banca Popolare Commercio e Industria Spa 2.553.121 80 1.989.659 374 Banca Popolare di Ancona Spa 1.275.097 71 1.414.314 37.240 Banca Popolare di Bergamo Spa 2.698.830 91.542 4.665.456 45.617 175.086 Banca Regionale Europea Spa 1.802.868 23.942 1.464.154 13.768 516.310 Banco di Brescia Spa 3.304.276 55.477 4.842.209 155.000 29.303 1.646.363 Banco di San Giorgio Spa 1.017.990 3.819 134.632 1.716 389.427 Banque de Dépôts et de Gestion Sa 13.061 1.588 BPB Capital Trust BPB Funding LLC 302.599 BPB Immobiliare Srl 130 623 379 UBI Assicurazioni Spa 3.000 1.200 1.001 486 UBI Assicurazioni Vita Spa 158.840 UBI Banca International Sa 3.980 437.154 UBI CentroSystem Spa 13.109 276 BPU Esaleasing Spa 11.373 3.764.289 13.215 3.195 13.598 27.871 UBI Pramerica Alternative Investments SGR Spa 5.010 Capitalgest Alternative Investment SGR Spa 211 522 577 Capitalgest SGR Spa 11 18 997 CBI Factor Spa 1.242.315 4.153 2.568 677.385 Centrobanca Spa 509 4.666.252 60.928 804.052 Centrobanca Sviluppo Impresa SGR Spa 35.978 Coralis Rent Srl 120.000 Coralis Travel Srl Financiera Veneta E.F.C. Sa in liquidazione 114 10.259 FinanzAttiva Servizi Srl Gestioni Lombarda (Suisse) Sa IW Bank Spa 1.015.712 1.254.817 100

128 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Financial assets held Available-for-sale Guarantees Loans to other banks Loans to customers Other assets Due to banks Due to customers Securities issued Other liabilities for trading financial assets granted Figures in thousands of euro InvestNet International Sa InvestNet Italia Spa InvestNet Work Iberica Spa 24-7 Finance Srl Lombarda Lease Finance 2 Srl Lombarda Lease Finance 3 Srl Lombarda Lease Finance 4 Srl Lombarda Management Company Sa Lombarda Mortgage Finance 1 Srl Mercato Impresa Spa 98 53 Orio Finance Nr. 1 Plc 27.410 7 Orio Finance Nr. 2 Plc 17.734 2 Orio Finance Nr. 3 Plc 7.247 Plurifid Spa 14 20 SBIM Spa 31.605 16 39 7.722 SBS Leasing Spa 3.590.596 4.892 59.450 13.248 57.127 Sifru Gestioni Fiduciarie Sim Spa 36 17 45 Silf Spa 198 349 1.867 Sintonia Finance Srl Solimm Spa 5 Solofid Spa 6 17 UBI Finance Srl UBI Insurance Broker Srl 21 UBI Partecipazioni Assicurative Spa 99 490 63 UBI Pramerica SGR Spa 4.905 1.923 110.049 48 UBI Sistemi e Servizi SCpA 53.117 2.900 24.863

Companies valued using the proportionate method-20.668------Area Mutui Srl Barberini Sa UBI Trust Company Ltd By You Spa By You Piemonte Srl By You Mutui Srl By You Liguria Srl By You Adriatica Srl By You Nord Srl By You Centro Srl By You Sud Srl Prestitalia Spa Polis Fondi SGR Spa 20.668

129 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Principal income statement items of UBI Banca Scpa with companies subject to control and joint control as at 30th June 2008

OTHER NET INCOME FROM OTHER INCOME AND INTEREST INCOME INTEREST EXPENSE COMMISSION INCOME COMMISSION EXPENSE DIVIDENDS STAFF COSTS ADMINISTRATIVE TRADING ACTIVITY EXPENSES EXPENSES Figures in thousands of euro

Fully consolidated companies 674.729 -424.499 4.011 -5.898 832.448 -1.381 32.885 -34.147 98.806 Albenza 2 Srl 20 Albenza 3 Srl 22 Albenza Srl 20 BDG Singapore Pte Ltd B@nca 24-7 Spa 151.381 -340 11.520 352 71 Banca Carime Spa 1.952 -96.611 -859 50.369 -3.928 8.100 Banca di Valle Camonica Spa 13.064 -11.576 192 13.013 -117 1.283 Banca Lombarda Preferred Capital Company LLC Banca Lombarda Preferred Security Trust UBI Banca Private Investment Spa 2 -5.127 188 -100 585 1.027 BPCI Capital Trust BPCI Funding LLC -5.118 Banca Popolare Commercio e Industria Spa 44.707 -43.422 406 -242 54.727 -66 -669 11.546 Banca Popolare di Ancona Spa 19.627 -23.622 46 -706 48.563 -1.391 -24 5.550 Banca Popolare di Bergamo Spa 44.088 -101.543 -1.397 305.658 -3.690 -145 25.297 Banca Regionale Europea Spa 32.641 -29.952 542 47.305 -726 5.860 Banco di Brescia Spa 70.498 -60.475 814 178.863 -302 8.691 Banco di San Giorgio Spa 21.448 -2.679 340 3.878 199 900 Banque de Dépôts et de Gestion Sa -61 7.858 9 BPB Capital Trust BPB Funding LLC -12.546 BPB Immobiliare Srl 210 -159 20 UBI Assicurazioni Spa -16 -337 31 UBI Assicurazioni Vita Spa UBI Banca International Sa 143 -8.967 4.247 UBI CentroSystem Spa 158 126 71 BPU Esaleasing Spa 84.789 -753 301 12.509 349 -8 105 UBI Pramerica Alternative Investments SGR Spa -101 5 Capitalgest Alternative Investment SGR Spa -47 63 Capitalgest SGR Spa -47 2.541 -507 -54 7 CBI Factor Spa 24.913 858 15.974 76 73 Centrobanca Spa 72.249 -260 -73 47.786 -1.381 1.223 -156 727 Centrobanca Sviluppo Impresa SGR Spa 24 Coralis Rent Srl -107 13 Coralis Travel Srl 7 Financiera Veneta E.F.C. Sa in liquidazione 5.274 167 FinanzAttiva Servizi Srl 6 Gestioni Lombarda (Suisse) Sa IW Bank Spa 12.090 -18.869 38 -1.170 1.793 52

130 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f OTHER NET INCOME FROM OTHER INCOME AND INTEREST INCOME INTEREST EXPENSE COMMISSION INCOME COMMISSION EXPENSE DIVIDENDS STAFF COSTS ADMINISTRATIVE TRADING ACTIVITY EXPENSES Figures in thousands of euro EXPENSES InvestNet International Sa InvestNet Italia Spa -228 InvestNet Work Iberica Spa 24-7 Finance Srl Lombarda Lease Finance 2 Srl Lombarda Lease Finance 3 Srl Lombarda Lease Finance 4 Srl Lombarda Management Company Sa Lombarda Mortgage Finance 1 Srl Mercato Impresa Spa 2.957 117 -1.348 55 Orio Finance Nr. 1 Plc 816 Orio Finance Nr. 2 Plc 528 Orio Finance Nr. 3 Plc 218 Plurifid Spa 137 3 SBIM Spa 849 5 769 37 -2.127 64 SBS Leasing Spa 72.969 19 8.663 161 Sifru Gestioni Fiduciarie Sim Spa 56 24 Silf Spa 878 209 80 Sintonia Finance Srl Solimm Spa 14 Solofid Spa 212 12 UBI Finance Srl UBI Insurance Broker Srl 2.000 62 7 UBI Partecipazioni Assicurative Spa 179 7 UBI Pramerica SGR Spa 43 -2.723 200 -783 10.228 82 981 UBI Sistemi e Servizi SCpA 282 39.599 -29.013 27.860

Companies valued using the proportionate method - - - - 763 - - - 11 Area Mutui Srl Barberini Sa UBI Trust Company Ltd By You Spa 694 11 By You Piemonte Srl By You Mutui Srl By You Liguria Srl By You Adriatica Srl By You Nord Srl By You Centro Srl By You Sud Srl Prestitalia Spa Polis Fondi SGR Spa 69

131 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Other information

Litigation

In accordance with IAS 34, section 17, we report that no litigation involving significant amounts was concluded during the first half. Neither is there any additional information to report with respect to that which has already been presented in the 2007 Annual Report which may be consulted.

The section “Information on risks and hedging policies” may be consulted for information on legal risk connected with the various legal and judicial proceedings arising in the ordinary course of business.

Initiatives in favour of residential mortgage holders

The increase in market interest rates which commenced at the end of 2005 and has become greater since the middle of 2007, after United States subprime mortgage crisis, has been accompanied by a progressive reduction in the purchasing power of households and this is generating critical situations for a significant number of mortgage holders.

Two important legislative measures were introduced during the period in relation to this situation with the declared intention of supporting mortgage holders with various solutions in this time of difficulty. The Italian Banking Association has also been directly involved in important initiatives related to this legislative action.

Law No. 244/2007

Law No. 244/2007 (The 2008 Finance Act, in force since 1st January 2008) made amendments, amongst other things, to regulations concerning the “portability” of mortgages (Art. 8 of Decree Law No. 7/2007, converted with amendments by Law No. 40/2007). These on the one hand confirmed that the operation involved the transfer of existing mortgage contracts under conditions agreed between the customer and the bank taking over the mortgage without the application of penalties or other costs of any nature and on the other hand it established that the operation was also completely free of charge for the customer with regard to the new bank (previously, the principle had only been established with regard to closing the account with the original bank) and that loan assessment procedures must be performed with co- operation between banks and be designed to minimise the relative times, formalities and costs. That same Law No. 244/2007 also addresses the renegotiation of mortgages (change in the conditions of a mortgage with the same bank), specifying that, if they wish, the parties may perform this by means of “private agreement”, even non certified, procedures and with no costs charged to the mortgage holder. A “solidarity fund” was also created at the Ministry of Economics and Finance for the purchase of a main dwelling, which may be drawn on by mortgage holders who apply to make use of their right to suspend repayments not more than twice and for a maximum period of not more than 18 months. That fund, which is designed to contribute to the costs of banking procedures and public notary fees required for the suspension just mentioned, is not yet operational because the ministerial regulations to implement it and also to establish criteria for access to the fund have not been put in place.

132 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Procedures for interbank co-operation on portability

The ABI (Italian Banking Association) formulated procedures for interbank co-operation to facilitate the operations in question as early as December 2007. These procedures are divided into three stages: application to commence, communication of the amount of the residual debt, official acceptance of the portability application. In the light, amongst other things, of the provisions of Law No. 244/2007, the ABI itself subsequently formulated, with regard to the stage concerning the communication of the amount of the residual debt, a specific procedure for communicating the data on the original mortgage by means of an Electronic Archive Alignment process together with a standard application form to be signed by the customer. The communication process itself is divided into three “sub-stages”: presentation of the relative form duly compiled by the customer, a request from the new bank to the original bank for the relative data, communication of the data by the original bank to the new bank within eight working days of the date on which the initial form was signed. If the original bank fails to reply, or is late in replying, it is subject to a penalty. These procedures were made available for use by banks on 4th February 2008: compliance with the procedures was made compulsory for the original banks from 31st May 2008, while use of the procedures by new banks taking over mortgages is optional. The regulations also state that while it is not compulsory for the deed to be signed and payment made simultaneously (with the participation of all parties concerned: original bank, new bank and customer), it is nevertheless advisable for the smooth completion of the portability operation, in the interests of the customer and the bank taking over the loan, because it avoids delays occurring with the issuance of a receipt at a date subsequent to that on which the mortgage deed is signed.

Decree Law No. 93/2008 (converted with amendments by Law No. 126/2008) and the convention signed by the ABI and the Ministry of Economics and Finance on 19th June 2008

This extremely recent legislation furnishes a special mechanism for renegotiating the amount of the instalments to be paid after 1st January 2009 in favour of the holders of mortgages at a variable interest rate and with variable repayment instalments, for the purposes of purchase, renovation and construction of a main dwelling (i.e. the dwelling in which the owner or spouse or relatives to the third degree or relatives in law to the second degree dwell habitually) signed or assumed, even following division of the debt, up until and including 28th May 2008. On the basis of that legislation, those mortgage holders who wish to, may reduce the amount of the repayment instalments after the date cited of 1st January 2009 to a fixed amount, calculated by applying the average interest rates for the contract in 2006 (or equal to the amount of the first instalment, if the mortgage was signed, assumed or renegotiated subsequent to 2006). The differences between the recalculated and the original repayment instalments, along with any past due and unpaid instalments/charges, are charged to an accessory loan account, on which interest capitalised annually matures at a maximum rate equal to the IRS ten year plus 0,5 percentage points. The final balance on that account, with the relative interest, is to be repaid on the basis of the same rescheduled fixed instalments. The banks participating in the initiative have until 29th August to send contract proposals to the customers in question, who have three months to decide whether they wish to accept them.

The position of the UBI Banca Group

At the date of this report, the UBI Banca Group is active on all the matters mentioned.

On the question of portability, all work on implementation had commenced when Decree Law No. 7/2007 came into force, in order to allow all the banks in the Group to comply with the provisions of the law concerning requests for the transfer of mortgages to other banks (termed

UBI Banca Group 133 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f “passive transfers”), with expenses and penalties of any nature excluded. The operational management processes for these operations were defined further and improved in 2008 with relative circulars sent to the network banks of the Group. Participation of the latter in the interbank dialogue procedures regulated by the ABI took place with regard to the position of “original banks” within the time limit set of 31st May 2008.

Once various legal and operational aspects had been clarified, work was completed towards the end of the first half of 2008 to allow the banks in the Group to perform portability operations as a “takeover bank”, thereby affording mortgage holders the chance to transfer mortgages existing with other banks to the UBI Group. Participation in the ABI procedures in the position of a “takeover bank” commenced on 13th June 2008 for private individual mortgage holders (for whom the UBI Group also set itself the target of responding within shorter time limits than those set by the ABI). Participation in the scheme with regard to mortgages held by other legal entities will be finalised in coming months.

The banks in the Group have incorporated the provisions of Law No. 244/2007 on mortgage renegotiation into their operations. With regard to the initiative provided for by Decree Law No. 93/2008 (the renegotiation of repayment instalments), when implementing their participation in the ABI-Ministry of Economics and Finance convention, the network banks decided to offer more favourable terms for repayment instalments and charges than those required under the legislation, by reducing to zero the spread of 0,5% allowed by the convention for setting the maximum rate for the accessory loan account. Moreover, the scope of application was extended beyond that of the convention to include mixed rate mortgages. It will be recalled that securitised mortgages also fall within that scope (the originator bank will participate in the scheme for these). A process to analyse and interpret the convention was immediately set in motion within the Group, which involved all units of both UBI and UBI.S, in order to apply the rules set out in the convention within the time limits set. Proposals were sent to customers affected by the proposals within the time limit set by the convention containing a transparent description of the possible impacts of the operation, with particular reference to the extension of the length of the repayment period.

Finally, in June 2008 the Management Board approved a policy document which defines guidelines for inward and outward portability, renegotiation (including rescheduling of repayments regulated by Decree Law No. 93/08) substitution and early repayment (partial or total) of mortgage loans. It complies with the new regulatory framework recently introduced and is also designed, in agreement with sector authorities, (amongst other things by setting minimum standards of service) to minimise times required, formalities and related costs and also to equip the Group with appropriate processes and instruments to manage the relative risks (credit, operational and reputation).

This policy applies to mortgage loans granted to both private individuals and other legal entities (limited to the law applicable for the latter) which are “direct” customers of the network banks of the UBI Banca Group. Mortgages generated through agreements with networks of financial agents/mortgage brokers by those same banks or by other Group member companies are subject to a specific policy approved by the Management Board at the end of July.

Antitrust proceedings concerning the portability of mortgages

Following a report by the consumer association “Altroconsumo”, the Antitrust Authority started proceedings against UBI Banca Scpa, Banca Popolare di Bergamo Spa, Banca Popolare Commercio e Industria Spa, Banco di Brescia Spa and Banca Regionale Europea Spa with a notification dated 13th May 2008 for violation of regulations on unfair market practices contained in the “Consumer Code” (articles 18 et seq of Legislative Decree No. 206/2005, as amended by Legislative Decree No. 146/2007) in relation to procedures adopted by them concerning the transfer of mortgages. More specifically they allegedly either prevented

UBI Banca Group 134 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f “portability” operations for mortgage loans or made them more costly (Art. 8 Decree Law No. 7/2007, as amended firstly by the conversion Law No. 40/2007 and then by Law No. 244/2007), at least in some branches subjected to anonymous tests.

During the course of the investigation the banks concerned provided the authority with the information it requested and filed a number of documents designed to demonstrate the absence of grounds for applying penalties both generally and in relation to the single episodes reported.

The proceedings were concluded on 8th August 2008, in a manner similar to others brought against various banks operating in Italy, with a ruling against Banca Popolare di Bergamo, Banca Popolare Commercio e Industria, Banco di Brescia and Banca Regionale Europea which imposed a fine of 450.000 euro on each of them. UBI Banca, however, was not fined.

The banks subject to fines will pay them, reserving the right to reimbursement, by drawing for that purpose on the provision made within the item provisions for liabilities and charges.

Branch disposals for antitrust authority compliance

Investigations of a technical nature are currently in progress concerning the sale of 61 branches located in the provinces of Bergamo and Brescia to Banca Popolare di Vicenza concluded on 31st December 2007 for Antitrust compliance. These are being performed following contestations put forward by the counterparty concerning adjustments to amounts provided for in the contracts for some of the assets sold, with the objective of reaching a mutually satisfactory agreement between the parties.

Supervisory measures concerning the organisation and corporate governance of banks

On 4th March 2008, the Bank of Italy issued new supervisory provisions concerning the organisation and corporate governance of banks in order to give them a unified body of regulations on the role and functioning of their governing and supervisory bodies and on the relations of these with the organisational structure of banks. The choice of the model of management and control adopted and the relative reasons for its adoption must be reported in a document entitled “Corporate governance design”, which must be prepared by 30th June 2009. Banks forming part of a banking group need not prepare their own “design” document where the decisions and reasons underlying their organisational structure have been fully reported in the “design” document of their parent bank.

A working group was formed in recent months in relation to this question, which is studying the matter in order to identify the principal areas of analysis and the necessary amendments to by-laws. The activities performed by the working group, which benefits from support by external expert consultants, is submitted periodically to a steering committee comprised of senior management for the formulation of directives and/or policies that may be necessary.

UBI Banca Group 135 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Inspections

Bank of Italy inspections of the Group performed pursuant to articles 54 and 68 of Legislative Decree No. 385/1993 and notified on 15th February 2008 were concluded on 13th June 2008. The purpose was to assess the following: the functioning of systems and controls to prevent risk in the management of the retail loan portfolio in the consumer credit and property mortgage loan segments; the compliance of the organisational structure with anti-money laundering regulations. Supervisory regulations set a time limit of 90 days from the conclusion of inspections for the delivery of inspection reports by the Bank of Italy.

On 13th March the CONSOB (Italian securities market authority) commenced an inspection of IW Bank pursuant to Art. 10, paragraph 1, of Legislative Decree No. 58/1998, to ascertain compliance with regulations concerning interconnection systems, the detection of suspect transactions with regard to market abuse and the provision of loan accessory services to customers. The inspection activities were suspended on 28th July and will resume in September.

Finally UBI Assicurazioni sent a reply to ISVAP (the insurance authority) in July in relation to the inspection performed into the company in the second half of 2007, illustrating the specific and dedicated programme to improve the management of damages claims which was commenced at the beginning of 2008.

Tax aspects

Tax changes

Decree Law No. 112 of 25th June 2008 (the “summer mini-budget”) – converted by Law No. 133 of 6th August 2008 – introduced important changes for the calculation of the taxable income of banks, financial institutions and insurance companies for IRES (corporation tax) and IRAP (local production tax) purposes.

Briefly the new legislation, which takes effect retrospectively from 1st January 2008, established the following: 1. the non deductibility of 4% of interest expense as recognised in financial statements. That percentage is reduced to 3% for the financial year 2008 only. The impact of the legislation is less in the presence of tax consolidation; 2. The reduction to 0,30% with respect to the existing 0,40% of the limit on the deduction of net write-downs on loans to customers. At the same time the period for the recovery of the excess amounts relating to the limits just mentioned has been extended to 18 years (nine previously). This also applies for the excess amounts already accumulated in prior years; 3. The reduction from 60% to 30% of the deductible portion of the change in the damages reserves of non-life insurance companies. The temporarily non deductible excess is deducted over the subsequent 18 years (nine previously).

While further study in terms of interpretation and application is required, the total negative tax impact of the non deductibility of interest expense in the first half was 18,4 million euro (net of minority interests). On the other hand, the greater recovery over 18 years mentioned in points 2 and 3 has financial impacts only, because any increased taxation is offset by deferred taxation mechanisms.

Amendments were also introduced with regard to registration tax concerning property leases between companies belonging to the same group: the previous fixed amount taxation has been replaced by proportionate taxation of 1% or 2%, depending on whether the property is for operational use or not. That amendment, however, has no significant impact.

UBI Banca Group 136 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f That same decree also extended the VAT exemption regime provided for by Art. 6 of Law No. 133/1999 for the provision of services within banking and insurance groups until 31st December 2008. The 2008 Finance Act had in fact repealed that exemption from 1st July 2008 and introduced a special exemption regime with effect from that same date limited to services provided by consortiums and/or consortium companies formed by entities that are largely unable to deduct VAT (banks and insurance companies). The new legislation is the outcome of in-depth consultation between those concerned, designed to facilitate the introduction of a “single Group VAT number” in Italy, along the lines of many EU member states. This would exempt intragroup services from taxation, in consideration, moreover, of the imminent implementation of a directive on banking and insurance services which renders them largely exempt from VAT.

* * *

Law No. 244/2007 (the 2008 Finance Act) repealed, with effect from the financial year commencing 1st January 2008, the possibility of making non accounting deductions (the EC section of the income tax return form) for depreciation and amortisation, net impairment losses and provisions and it allowed, however, a substitute tax for IRES (corporation tax) and IRAP (local production tax) to be levied on those deductions in order to align statutory accounting amounts with those for tax purposes (the tax is levied from 2008 on the basis of misalignments existing as a 31st December 2007).

The UBI Banca Group made use of the provisions contained in Art.1 paragraph 33 of Law No. 244/2007 as interpreted by Ministerial Decree of 3rd March 2008 to make a positive assessment of the possibility of applying the substitute tax to the non accounting differences existing as at 31st December 2007 immediately as from the financial year 2008. The result is the realignment of amounts for statutory accounting and tax purposes for the items concerned and the elimination in the income statement of the higher rate (27,5% + IRAP (local production tax)) in favour of the substitute tax (16%) now due. The consequence is a positive impact on consolidated income statement, net of minority interests, amounting to 67,7 million euro.

However, the planned legislation designed to regulate extraordinary transactions (see statutory/tax accounting realignments) and the application of IAS/IFRS accounting standards, including for the financial years 2005 and following, is still in the pipeline.

Tax litigation

Some companies were, or still are, subject to tax audit by the finance authorities during the first half.

In detail ten tax audits were being or had been completed as at 30th June 2008 affecting seven companies: UBI Assicurazioni, BPB Immobiliare, B@nca 24-7, SBIM, UBI Banca private investment, UBI Sistemi e Servizi, UBI leasing.

The findings contained in the relative tax audit reports – relating mainly to tax aspects, the classification of extraordinary transactions, the tax classification of some expense or income items, the application of VAT to the maritime sector – were subjected to careful examination by the departments concerned, which in some cases received support from external experts, in order to estimate the risk attached to the pending litigation.

Total allocations to provisions for liabilities were made in the financial statements for the first half of 2008 amounting to 1,5 million euro. The amount of those provisions was calculated on the basis of the probability of risk existing and the sum that it was felt will be required to meet obligations arising, taking account of the action that the tax payer might take.

As specifically concerns the tax audit for BPB Immobiliare, the tax authorities contested the contribution of company operations made by BPB Immobiliare in 2003 to Immobiliare Serico, reclassifying it as the contribution of a number of properties. As a consequence of that contestation, increased taxation was calculated amounting to approximately 16,8 million euro, exclusive of fines and interest.

UBI Banca Group 137 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Since it is considered there are grounds in fact and in law to consider that the interpretation of the tax auditors that the assets did not constitute a unit of company operations is without foundation, no provisions were made in the accounts with regard to this position.

Finally, to complete the information, tax audits commenced in July 2008 on two other Group member companies, Banca Carime and UBI Sim (merged, with effect from 1st January 2008, into UBI Banca Private Investment).

State aid

The conversion into law of Decree Law No. 112 of 25th May 2008 introduced a new article, 83- bis, which regulates the recovery of stated aid defined as incompatible with EU legislation (decision of the EU Commission No. C2008-869 of 11th March 2008, in relation to which the Ministry of Economics and Finance sent a letter to the commission on 14th May 2008).

It is special concessionary legislation (tax rate of 9%) designed to realign the suspended tax amounts resulting from contributions under the “Amato” law (Law No. 218/1990). The recovery was imposed by the commission itself (with the decision cited of 11th March 2008), which must be informed of the recovery measures adopted by the Italian government within four months (September 2008).

The banks affected by the provisions include the former Banca Lombarda e Piemontese Spa and Banco di Brescia San Paolo CAB Spa, which had “realigned” values for a total of 14.093.486 euro. The estimate of the total aid to be repaid amounts to 1.676.189 euro (inclusive of interest), for which provision has already been made in prior years.

Dormant accounts

It will be recalled that the 2006 Finance Act (Law No. 266 of 23rd December 2005) created a fund to indemnify savers who, as a result of investing in financial markets, were the victims of financial fraud for which no other compensation existed. This fund will be financed by amounts on current and deposit bank accounts that are defined as “dormant”, i.e. accounts on which no transaction or movement has been performed by the account holders or others authorised by them for more than 10 years, provided the balances on them are equal to or greater than 100 euro.

At the end of the time limit, on 17th February 2008, the UBI Banca Group had complied with the provisions of the Act and had sent notifications to the holders of accounts on which no transactions or movements had taken place as at 17th August 2007. As concerns bearer accounts, the information was communicated by posting a notice of advice and a list of the dormant accounts in the branches where the accounts are held.

The time limit within which account holders might claim the amounts on their accounts with the bank expired six months following the receipt of the registered letter sent to named account holders and the posting of notices in network branches for bearer account holders (around the middle of August) 1. Nevertheless since banks are required to make sums available to the fund within four months (i.e. by 16th December 2008), customers may approach their banks to claim sums until payment is actually made to the fund. The banks will furnish the Ministry of Economics and Finance with a list of all the “dormant” accounts for publication on the Ministry’s web site before payment is made to the fund, with news given to customers by means of a notice published in a national newspaper.

In the meantime, the banks in the UBI Group are completing their census of declarations of “non dormancy” and, at the same time, have practically completed the work of checking the

1 A period one month longer is allowed for those who did not receive the registered letter.

UBI Banca Group 138 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f accounts with no movements on them and no claims, with specific action to check the history (ten years) of “dormancy”.

At the date of this report, the number of “dormant” accounts existing at the Group’s network banks had fallen to a little less than six thousand, compared to approximately 19 thousand communications sent prior to the deadline of 17th February 20082. On that same date there were more than 35 thousand bearer accounts.

Finally, it must be considered that customers may reclaim amounts on their accounts even after payment is made to the fund (within ten years).

The application of maximum overdraft charges

In a meeting of the 15th July 2008, the Management Board of UBI Banca, in response, amongst other things, to requests made by the Governor of the Bank of Italy to the banking sector, decided to launch a study into possible alternative solutions for the application of commissions on maximum overdraft facilities. It will be recalled in this respect that the 2007-2010 Industrial Plan already included an estimate of the impact on capital and profits of modifications to the commissions mentioned, with an annual reduction of approximately 30% in income from this item budgeted for the years 2009 and 2010.

The invitation from the supervisory authority – reiterated also by the ABI (Italian Banking Association) which is currently reviewing maximum overdrafts – is to consider replacing the commission with transparent charges commensurate to the size of the overdraft facility agreed.

2 As a prudent measure, and also considering the IT migrations in progress, accounts selected and reported as dormant have in some cases included those with no movements on them for a period of less than 10 years.

UBI Banca Group 139 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Significant subsequent events occurring after 30th June 2008

No events of importance that might affect the operating and financial position presented occurred after 30th June 2008, the balance sheet date of this half year financial report and until 26th August 2008, the date of its approval by the Management Board of UBI Banca Scpa.

We report the following for information purposes:

y on 29th July the Management Board of UBI Banca approved a project to merge Capitalgest Spa into UBI Banca Scpa. Subject to authorisation by the Supervisory Authority, the operation will presumably be completed before the end of the year with effect for accounting and tax purposes from 1st January 2008 (see the section “the scope of consolidation”); y on 5th July 2008, the merger of BPU Esaleasing into SBS leasing took effect with the latter taking the new name of “UBI Leasing”. y on 1st July the transformation of UBI Sistemi e Servizi into a joint stock consortium also took effect; y the migration of the offices and branches of Banca Carime onto the Group target IT platform took place on the first weekend of July; y the programme for the issue of covered bonds was presented in the first week of July on a road show in major European financial centres. It had already been assigned a “triple A” “presale” rating; y additional capitalisation policies were reimbursed at the beginning of July with a nominal value of 220 million euro (170 million euro relating to UBI Banca and 50 million euro to Centrobanca). At the date of this report only three policies remained, held by the Parent Bank, for a total nominal amount of 350 million euro.

UBI Banca Group 140 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Business outlook

The business outlook for consolidated performance confirms the basic sustainability of the results for recurring operations forecast in the 2007-2010 Business Plan for the year in progress.

Normalised net profit expected for 2008 – which also takes account of the new tax legislation introduced by the “summer mini-budget” – is in fact in line with the target set in the 2008 business plan which, however, is to be achieved with a different composition of revenues, consistent with market developments and centred more on interest income.

In an expected context of steady interest rates in the second half of the year and of pressure on the cost of funding, growth in net interest income should be slightly lower than that earned in 2007, although it should make a significantly greater contribution to operating income than that forecast in the Business Plan for the year.

The contribution to profits made by financial activities was affected by the unfavourable performance of markets in the first half of 2008. The achievement of profit targets for those activities in the second half remains heavily dependent on the context returning to normal operating conditions. This trend could also have impacts on asset valuation in terms of the economic impairment of available-for-sale financial assets if particularly negative market conditions should persist.

Net commissions are expected to decrease compared to 2007, mainly as a result of the unfavourable performance of indirect funding, with a consequent lower contribution to profits compared to targets, which, however, it is expected will be more than offset by the higher contribution from net interest income.

Net of integration costs and the positive impact of changes to the accounting treatment of the staff severance provision (2007 Finance Act), operating costs for the year in progress should be higher than forecast in the Business Plan, although to a moderate degree, the result of higher expenses attributable to the Group IT system.

The average cost of lending in the first half was 32 basis points. On the basis of the information currently available, it is expected that the performance for the full year 2008 will remain within the 35 basis points forecast in the Business Plan.

Bergamo, 26th August 2008

THE MANAGEMENT BOARD

UBI Banca Group 141 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

UBI Banca Group 142 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

CONDENSED HALF YEAR CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE PERIOD ENDED 30TH JUNE 2008

UBI Banca Group 143 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Condensed half year mandatory consolidated financial statements as at and for the period ended 30th June 2008

Consolidated balance sheet

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro

ASSETS

10. Cash and cash equivalents 529.922 643.128 470.341

20. Financial assets held for trading 2.275.860 3.811.580 7.261.604

30. Financial assets at fair value 1.254.337 1.333.586 3.501.859

40. Available-for-sale financial assets 3.678.806 5.729.003 4.880.447

50. Held-to-maturity financial assets 1.401.857 1.254.520 1.249.867

60. Loans to banks 3.221.741 3.695.284 3.912.541

70. Loans to customers 96.506.114 92.941.317 90.070.824

80. Hedging derivatives 217.615 261.479 374.120

90. Fair value change of hedged financial assets (+/-) -70.934 -7.685 -16.721

100. Equity investments 230.911 183.448 139.999

110. Technical reserves of reinsurers 84.441 253.301 210.277

120. Property, plant and equipment 2.131.786 2.178.566 2.024.845

130. Intangible assets 5.568.650 5.621.122 5.524.962 of which: - goodwill 4.357.430 4.357.381 5.410.095

140. Tax assets 1.004.769 1.204.069 1.036.261 a) current 450.582 726.794 385.404 b) deferred 554.187 477.275 650.857

150. Non-current assets and disposal groups held for sale 19.803 13.205 9.760

160. Other assets 2.662.354 2.375.643 2.964.296

TOTAL ASSETS 120.718.032 121.491.566 123.615.282

The figures as at 30th June 2007 are different from those already published as a result of the standardisation of accounting policies made necessary following the merger which gave rise to the UBI Banca Group. The mandatory financial statements as at 30th June 2007 and as at 31st December 2007 were also affected by the reclassification of repurchase and reverse repurchase agreements with an institutional counterparty from the item “net interbank position” to the item “due to/from customers”. The item “Temporary merger difference”, which was stated separately as at 30th June 2007 in the financial statements published, has been reclassified within item 130.

144 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f 30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro

LIABILITIES AND SHAREHOLDERS’ EQUITY

10. Due to banks 6.179.055 7.736.405 11.517.461

20. Due to customers 51.185.280 50.164.004 49.210.797

30. Securities issued 42.416.184 40.817.869 40.226.922

40. Financial liabilities held for trading 794.656 865.207 1.328.079

60. Hedging derivatives 396.679 351.723 440.596

80. Tax liabilities 1.360.800 1.776.140 914.570 a) current 489.843 689.036 447.024 b) deferred 870.957 1.087.104 467.546

90. Liabilities associated with disposal groups held for sale 6.609 - -

100. Other liabilities 4.756.203 3.499.989 4.300.057

110. Staff severance provisions 425.648 469.879 472.654

120. Provisions for liabilities and charges: 361.253 321.730 528.593 a) pension and similar obligations 82.361 84.139 88.812 b) other provisions 278.892 237.591 439.781

130. Technical reserves 380.198 2.590.644 2.536.782

140. Valuation reserves -295.532 37.485 74.747

170. Reserves 2.438.584 2.195.597 2.165.261

180. Share premiums 7.100.378 7.100.378 7.100.378

190. Share capital 1.597.865 1.597.865 1.597.865

210. Minority interests (+/-) 1.094.986 1.085.839 866.910

220. Profit (loss) for the period (+/-) 519.186 880.812 333.610

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 120.718.032 121.491.566 123.615.282

The figures as at 30th June 2007 and as at 31st December 2007 contain results for the period that do not include the contribution from the former Banca Lombarda e Piemontese Group for the first quarter.

145 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Consolidated income statement

2nd Quarter 2nd Quarter 30.6.2008 30.6.2007 31.12.2007 2008 2007 Figures in thousands of euro

10. Interest and similar income 3.049.072 2.261.178 5.255.442 1.505.235 1.396.069 20. Interest expense and similar (1.578.257) (1.101.143) (2.683.449) (793.837) (688.712) 30. Net interest income 1.470.815 1.160.035 2.571.993 711.398 707.357 40. Commission income 727.481 647.988 1.422.798 361.006 402.985 50. Commission expense (107.651) (93.060) (207.179) (56.702) (58.813) 60. Net commission income 619.830 554.928 1.215.619 304.304 344.172 70. Dividends and similar income 68.475 79.454 83.249 66.839 74.488 80. Net profit (loss) from trading (11.812) 23.731 30.232 23.665 16.504 90. Net profit (loss) from hedging activity 14.116 4.436 4.541 593 2.026 100. Profit (loss) from disposal or repurchase of: 10.208 27.128 46.953 8.553 5.496 a) loans (728) 4.163 (140) (286) 873 b) available-for-sale financial assets 7.114 20.015 40.342 7.047 2.454 d) financial liabilities 3.822 2.950 6.751 1.792 2.169 110. Net profit (loss) on financial assets and liabilities at fair value (1.620) - 1.607 5.169 - 120. Gross income 2.170.012 1.849.712 3.954.194 1.120.521 1.150.043 130. Net impairment losses on: (150.688) (103.079) (356.512) (90.456) (56.494) a) loans (154.195) (97.396) (328.015) (93.973) (51.827) b) available-for-sale financial assets (6.669) (6.024) (20.046) (3.058) (6.021) d) other financial transactions 10.176 341 (8.451) 6.575 1.354 140. Net financial operating income 2.019.324 1.746.633 3.597.682 1.030.065 1.093.549 150. Net insurance premiums 99.296 196.663 402.298 4.845 95.916 160. Other net profit (loss) of insurance operations (91.120) (205.518) (421.586) 16.831 (97.560) 170. Net income from financial and insurance operations 2.027.500 1.737.778 3.578.394 1.051.741 1.091.905 180. Administrative expenses (1.302.563) (1.178.536) (2.489.011) (672.967) (780.958) a) staff costs (827.776) (802.559) (1.601.756) (422.747) (541.097) b) other administrative expenses (474.787) (375.977) (887.255) (250.220) (239.861) 190. Net provisions for liabilities and charges (25.920) (4.639) (29.968) (17.431) (3.249) 200. Net impairment losses on property, plant and equipment (60.680) (61.368) (124.118) (29.801) (42.415) 210. Net impairment losses on intangible assets (69.089) (34.081) (107.878) (35.360) (26.798) 220. Other operating income / (expense) 130.592 112.121 269.006 64.125 74.192 230. Operating costs (1.327.660) (1.166.503) (2.481.969) (691.434) (779.228) 240. Profits (losses) of equity investments 14.198 5.523 15.248 9.184 3.543 260. Net impairment losses on goodwill - (136) - - (136) 270. Profits (losses) on disposal of investments 79.092 21.680 22.085 21.110 21.661 280. Profit (loss) on continuing operations before tax 793.130 598.342 1.133.758 390.601 337.745 290. Taxes on income for the period for continuing operations (214.789) (251.883) (460.673) (58.685) (139.611) 300. After tax profit (loss) on continuing operations 578.341 346.459 673.085 331.916 198.134 310. Profit (loss) after tax from discontinued operations (11.029) 16.584 308.547 (11.029) 16.868 320. Profit (loss) for the period 567.312 363.043 981.632 320.887 215.002 330. Profit (loss) for the period attributable to minority interests (48.126) (29.433) (100.820) (20.971) (19.080) 340. Profit (loss) for the period attributable to the shareholders of the Parent Bank 519.186 333.610 880.812 299.916 195.922

Basic EPS (Earnings Per Share) "annualised" 1,5947 1,2318 1,5379 Diluted EPS (Earnings Per Share) "annualised" 1,5947 1,2318 1,5379

The figures to 30th June 2007 and to 31st December 2007 do not include the contribution from the former Banca Lombarda e Piemontese Group for the first quarter.

The figures to 30th June 2007 do not incorporate the effects of the Purchase Price Allocation.

146 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Statement of changes in consolidated shareholders’ equityfor the period ended 30th June 2008

Balances Changes Balances Allocation of Allocation of Changes in Changes in Shareholders' Balances Changes Balances Changes attributable attributable attributable reserves reserves reserves reserves Profit Profit equity attributable to attributable to attributable to attributable to Issues by the Minority Minority to the to the to the attributableAllocation of to prior attributable year profit attributable to attributable Changes January - June 2008 attributable attributable attributable to the Parent the Parent the Parent Changesthe minority in Parent Bank interests interests minority minority minority the Parent to minority the Parent to minority to the Parent to minorityShareholders’ the Parent equity as at BalancesBank as at 31.12.2007 ChangesBank in opening balances BalancesBank as at 1.1.2008 scopeinterests of Figures in thousands of euro interests interests interests Bank interests Bank interests Bank interests Bank30.6.2008 consolidation Reserves Changes in reserves New share issues Profit for the period Share capital: 1.597.865 - 1.597.865 ------1.597.865 - Dividends and Stock a) ordinary shares 1.597.865 - 1.597.865 ------1.597.865 - other uses options b) other shares ------

Share premiums 7.100.378 - 7.100.378 ------7.100.378 -

Reserves 2.195.597 933.576 - - 2.195.597 933.576 - 248.080 100.820 -5.093 -38.087 - - - 2.438.584 996.309

a) of profits 1.585.655 196.711 - - 1.585.655 196.711 248.080 100.820 -5.093 -79.629 - - 1.828.642 217.902

b) other 609.942 736.865 - - 609.942 736.865 - - - 41.542 - - - 609.942 778.407

Valuation reserves: 37.485 51.443 - - 37.485 51.443 - -333.017 -892 -295.532 50.551 a) available-for-sale financial assets -34.907 2.025 - - -34.907 2.025 - -336.320 -1.596 -371.227 429

b) cash flow hedging 923 - - - 923 - - -16 - 907 -

c) exchange rate differences -243 - - - -243 - - - - -243 -

d) special revaluation laws 69.619 50.093 - - 69.619 50.093 - 300 -3 69.919 50.090

e) other 2.093 -675 - - 2.093 -675 - 3.019 707 5.112 32

Capital instruments ------

Own shares: ------

a) of the Parent Bank ------

b) of subsidiaries ------

Profit for the period 880.812 100.820 - - 880.812 100.820 - -248.080 -100.820 -632.732 519.186 48.126 519.186 48.126

Shareholders’ equity 11.812.137 1.085.839 - - 11.812.137 1.085.839 - - - -632.732 -338.110 -38.979 - - - 519.186 48.126 11.360.481 1.094.986

As concerns minority interests the decrease of 79.629 thousand euro in “reserves of profits” is primarily attributable to the distribution of profits in the previous year amounting to approximately 72.300 thousand euro and to the extraordinary dividend amounting to 13.300 thousand euro of the Banca Regionale Europea, partially offset by the positive impact amounting to 3.300 thousand euro of the contribution of the operations (funds) of Capitalgest SGR Spa, as described below, and by that amounting to 500 thousand euro related to the partial sale of UBI Sistemi e Servizi to minorities. The increase in “other reserves” amounting to 41.542 thousand euro is due to the effects of the contribution of the operations (funds) of Capitalgest SGR Spa and of the interest in Capitalgest Alternative Investments SGR Spa held by UBI Banca and made to UBI Pramerica SGR Spa (49.845 thousand euro) and also to the increase in the share capital of SBS Leasing Spa (1.200 thousand euro), which were only partially offset by the negative impact of the transfer to the income statement for the purchase price allocation amounting to approximately 8 million euro.

147 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Statement of changes in consolidated shareholders’ equity for the period ended 30th June 2007

Changes January - June 2007 Shareholders’ equity as at Balances as at 31.12.2006 of consolidation 30.6.2007 Reserves Changes in reserves New share issues Profit for the period

Allocation of prior year profit Stock Balances Changes in Changesopening Balances Changes in scope Allocation of Allocation of Changes in Changes in Changes BalancesBalances as at 1.1.2007 options Profit Profit Shareholders' Balances attributable attributable attributable Changes reserves reserves reserves reserves attributablebalances to attributable to Issues by the Minority attributable to attributable equity Minority attributable to to the to the to the attributable to the attributable to attributable attributable to attributable the Parent the Parent Parent Bank interests the Parent to minority attributable to interests the Parent Bank minority minority minority minority interests the Parent to minority the Parent to minority Bank Bank Dividends Bank interests the Parent Bank interests interests interests Bank interests Bank interests Figures in thousands of euro and other uses Share capital: 861.207 - 861.207 - - - - 736.658 - - - 1.597.865 - a) ordinary shares 861.207 - 861.207 - - - - 736.658 - - - 1.597.865 - b) other shares ------

Share premiums 1.545.611 - 1.545.611 - - - - -235.365 5.790.132 - 7.100.378 -

Reserves 1.866.531 372.751 - - 1.866.531 372.751 432.321 331.533 44.580 -904 -31.899 - 64.685 - - - 2.165.261 784.967 a) of profits 1.238.781 26.193 - - 1.238.781 26.193 214.765 331.533 44.580 -904 -31.899 - 84.408 - - 1.537.511 201.130 b) other 627.750 346.558 - - 627.750 346.558 217.556 - - - 19.723 - - - 627.750 583.837

Valuation reserves: 118.820 943 -17.892 -1.042 100.928 -99 51.555 -26.181 1.054 74.747 52.510 a ) available-for-sale financial assets 49.020 353 - - 49.020 353 2.755 -53.475 -767 -4.455 2.341 b) cash flow hedging 242 48 - - 242 48 - 1.757- 48 1.999 - c) exchange rate differences -243 - - - -243 - - - - -243 -

d) special revaluation laws 69.801 542 - - 69.801 542 49.623 -288 -9 69.513 50.156

e) other - - -17.892 -1.042 -17.892 -1.042 -823 25.825 1.878 7.933 13

Capital instruments ------

Own shares: ------a) of the Parent Bank ------b) of subsidiaries ------

Profit for the period 640.779 44.580 - - 640.779 44.580 -331.533 -44.580 -309.246 - - 333.610 29.433 333.610 29.433

Shareholders’ equity

5.032.948 418.274 -17.892 -1.042 5.015.056 417.232 483.876 - - -545.515 -58.080 -63.631 6.526.790 - - 333.610 29.433 11.271.861 866.910

The effects of the change in accounting policy for actuarial gains and losses in relation to benefit plans for employees have been inserted in the line “Valuation reserves e) other”, as “Changes in opening balances”.

As concerns minority interests: - the changes in reserves "other" are almost entirely attributable to the increase in the share capital and the share premium account for the shares of IW Bank Spa at the service of the stock exchange listing of the company. - the changes in reserves "of profits " are due to the distribution of profits for the year ended 31st December 2006 amounting to -86.276 million euro, to the cover for valuation reserves for actuarial profits and losses on the staff severance provision, health policies and other for the amount contained in the column "changes in opening balances " and also to the effect of the listing of IW Bank with the consequent increase in the percentage of ownership by minority shareholders.

148 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Consolidated statement of cash flows (indirect method)

30.6.2008 30.6.2007 Figures in thousands of euro

A. OPERATING ACTIVITIES 1. Ordinary activities 232.862 321.387 - net profit for the period (+/-) 519.186 333.610

- gains/losses on financial assets held for trading and on financial assets/liabilities at fair value (+/-) 11.812 -23.731 - gains/losses on hedging activities (-/+) -14.116 -4.436 - net impairment losses on loans (+/-) 150.688 103.079 - net impairment losses on property, plant and equipment and intangible fixed assets (+/-) 129.769 95.449 - net provisions for liabilities and charges and other expense/income (+/-) 25.920 4.503 - net premiums not collected (-) - - - other insurance income/expense not received(-/+) - - - outstanding taxes and duties -215.176 -8.612

- net impairment losses on disposal groups held for sale after tax (-/+) - -16.584 - other adjustments (+/-) -375.221 -161.891 2. Liquidity generated/absorbed by financial assets -2.317.542 -5.976.358 - financial assets held for trading 969.169 -1.045.828 - financial assets at fair value 79.249 1.850.758 - available-for-sale financial assets -148.290 -182.759 - loans to banks: repayable on demand - - - loans to banks: other loans 682.439 -163.156 - loans to customers -3.900.109 -6.435.373 3. Liquidity generated/absorbed by financial liabilities 2.534.572 5.997.584 - amounts due to banks repayable on demand - - - amounts due to banks: other payables -2.025.703 2.896.338 - due to customers 2.178.311 185.938 - securities issued 1.545.111 2.372.427 - financial liabilities held for trading -70.551 299.549 - financial liabilities at fair value - - - other liabilities 907.404 243.332 Net liquidity generated/absorbed by operating activities 449.892 342.613

B. INVESTING ACTIVITIES 1. Liquidity generated by 136.538 155.681 - disposals of equity investments - 3.214 - dividends received on equity investments 68.475 79.454 - disposals of held-to-maturity financial assets - 73.013 - disposals of property, plant and equipment - - - disposals of intangible assets - - - disposals of subsidiaries and lines of business 68.063 - 2. Liquidity absorbed by -66.904 -103.435 - purchases of equity investments -28.571 - - purchases of held-to-maturity financial assets - -66.008 - purchases of property, plant and equipment -38.333 -19.605 - purchases of intangible assets - -17.822 - purchases of subsidiaries and lines of business - - Net liquidity generated/absorbed by investing activities 69.634 52.246

C. FUNDING ACTIVITIES - issues/purchases of own shares - - - issues/purchases of capital instruments - - - distribution of dividends and other uses -632.732 -511.317 Net liquidity generated/absorbed by funding activities -632.732 -511.317

NET LIQUIDITY GENERATED/ABSORBED DURING THE PERIOD -113.206 -116.458

Key: (+) generated (-) absorbed

149 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reconciliation

30.6.2008 30.6.2007 Figures in thousands of euro

Cash and cash equivalents at beginning of period 643.128 405.097 Inflow of cash and cash equivalents as at 1.4.2007 following the merger - 181.702 Total net cash flow for the period -113.206 -116.458 Cash and cash equivalents: effect of changes in exchange rates - - Cash and cash equivalents at the end of the period 529.922 470.341

150 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Illustrative notes

Accounting policies

Statement of compliance with IAS/IFRS

These half year financial statements of the Unione di Banche Italiane Group, approved by the Management Board on 26th August 2008, have been prepared in compliance with Art. 154 ter of Legislative Decree No. 58/1998 to implement the “Transparency Directive”1 and in application of IAS 34 “Interim financial reporting”.

In view of the concession allowed by the standard cited, the condensed half-year consolidated financial statements as at and for the period ended 30th June 2008 – prepared in compliance with the international accounting standards issued by the International Accounting Standards Board (IASB) and approved at the date of publication and also in compliance with the related interpretations of the International Financial Reporting Interpretation Committee (IFRIC) 2 – have been presented in condensed form and therefore they do not provide all the full information required for annual financial statements.

This financial report is composed of the condensed half year financial statements containing the mandatory financial statements – the balance sheet, income statement, statement of cash flows and statement of changes in shareholders’ equity subjected to a limited audit – and the relative illustrative notes (accounting policies and tables) along with the directors half year report on the consolidated financial statements and the statement in compliance with art. 154 bis, paragraph 5 of the Consolidated Finance Act.

The report is on the companies (subsidiaries, associates and companies subject to joint control) included within the scope of consolidation, as detailed in the section “The scope of consolidation” in the half year directors’ report which also reports the changes that occurred during the period.

Basis of preparation

These condensed consolidated financial statements as at and for the period ended 30th June 2008 have been prepared according to the general accounting principles contained in IAS 1 “Presentation of financial statements” and they therefore report information on a going concern basis, recognising income and expenses on an accruals basis, without offsetting assets against liabilities and income against expenses.

The information contained in them is expressed, unless otherwise indicated, in euro as the accounting currency.

The financial position, balance sheet, income statement and the explanatory notes have been presented in thousands of euro. The relative rounding of the figures has been performed on the basis of Bank of Italy instructions. Items for which there are no values for the current and the previous period have been omitted.

1 Reference to Dir. 2004/109/EC, and article 6 in particular. That directive, implemented in national law by Legislative Decree No. 195/2007, amended Legislative Decree No. 58/1998, known as the Consolidated Finance Act. 2 See the “List of IAS/IFRS standards approved by the European Commission”. The standards listed there and the relative interpretations are applied on the basis of events occurring that are disciplined by them.

151 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f These half year condensed consolidated financial statements as at and for the period ended 30th June 2008 have been clearly stated and give a true and fair view of the capital and financial position, the result for the period, the changes in equity and the cash flows.

The mandatory financial statements comply with those defined in Bank of Italy Circular No. 262/20053 and in addition to the financial statements as at and for the period ended 30th June 2008 they provide the following comparative information: - balance Sheet: 31st December 2007 and 30th June 2007; - income statement: 30th June 2007, 31st December 2007 and second quarter 2007; - statement of changes in shareholders’ equity: 30th June 2007; - statement of cash flows: 30th June 2007.

In detail: y the comparative balance sheet information as at 30th June 2007 relates to the UBI Banca Group and includes a result for the year to which the former Banca Lombarda e Piemontese Group contributed for only three months and not for six months; y the comparative income statement information for the first half of 2007, which does not include the effects of the purchase price allocation, nor those of the amendments to the Corporate By-laws concerning staff pensions and social security, relate to the following: - the former BPU Banca Group for the period 1st January-30th June 2007; and - the former Banca Lombarda e Piemontese Group for the period 1st April – 30th June 2007. y the comparative balance sheet information as at 31st December 2007 relates to the UBI Banca Group and includes a result for the year to which the former Banca Lombarda e Piemontese Group contributed for only 9 months and not for 12 months; y the comparative income statement information for the financial year 2007 relates to: - the former BPU Banca Group for the period 1st January-31st December 2007; and - the former Banca Lombarda e Piemontese Group for the period 1st April–31st December 2007.

In consideration of the above, the figures in the condensed consolidated financial statements as at and for the period ended 30th June 2008 are not comparable with those for the previous periods. In order to provide more complete information, pro-forma balance sheet and income statement figures as at 30th June 2007 and as at 31st December 2007 have been prepared to supplement the half year directors’ report. That section contains comments on the principal changes that occurred in the capital and financial position during the reporting period (first six months of 2008) and in some cases on an annual basis (30th June 2007-30th June 2008). Comment is also given on operations for the period January-June 2008 compared with the corresponding first six months of 2007.

This financial report also includes a section on the Parent Bank containing the separate condensed mandatory half-year financial statements as at and for the period ended 30th June 2008 (which have not been subjected to a limited audit and for which the same considerations of non comparability concerning the consolidated financial statements also apply), the pro- forma reclassified financial statements and the relative notes and comments.

Accounting policies

These condensed half year financial statements adopt the same accounting policies in the classification, valuation and derecognition phases described in the 2007 Annual Report, which may be consulted for a full description.

3 The balance sheet lists assets and liabilities in order of decreasing liquidity and the income statement recognises expenses according to their nature.

152 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The accounting policies employed tend to apply the cost criterion with the exception of the following financial assets and liabilities, which are stated at fair value: financial instruments held for trading (including derivative products), financial instruments designated at fair value (in application of the fair value option) and available-for-sale financial assets. To complete the information, non-current assets available for sale (and the liabilities associated with them) are recognised at the lower of the carrying value and the fair value (net of sales costs).

Use of estimates These condensed half year financial statements, in compliance with IAS/IFRS 34, have been prepared making a more extensive use of estimates with respect to annual reports, without, however, impairment to their reliability.

Other aspects

No situations existed at the balance sheet date of this condensed report, other than those which may already been reported in the section “The scope of consolidation”, contained in the half year directors’ report, in which: y in the presence of the direct or indirect ownership of shares equal to or greater than half the actual or potential voting rights it is considered that control is not exercised; y in the presence of the direct or indirect ownership of shares equal to or greater than 20% it is considered that significant influence is not exercised; y in the presence of the direct or indirect ownership of less than 20% of the shares, it is considered that significant influence is exercised.

No significant restrictions existed on that same date on the ability of subsidiaries and associates to transfer funds to the Parent Bank in payment of dividends or repayment of loans or any other type debt. The balance sheet dates of all the companies included in the consolidation were the same as the balance sheet date of the half year condensed financial statements of the Parent Bank.

As already reported in the half year directors’ report on the consolidated financial statements, the sale to Aviva Italia Holding Spa of 50% of the share capital plus one share was completed on 18th June 2008. That transaction meant that the consolidation method for that company was changed from full consolidation to consolidation by the equity method. In consideration of the lack of significance and importance of that transaction with regard to items in the income statement, that change was backdated in accordance with standard practice to 1st January 2008 instead of to 18th June 2008. That decision had no impact on the net result.

Finally, the relative sections in the half year directors report on the consolidated financial statements may be consulted with regard to minimum content required under sections 16 and 17 of IAS 34, and that required by the CONSOB (Italian securities market authority), i.e. litigation settlements, related party transactions, significant events after the end of the interim period, changes in the scope of consolidation, significant non-recurring transactions and atypical and/or unusual transactions.

153 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f List of the main IAS/IFRS standards approved by the European Commission

IAS/IFRS ACCOUNTING STANDARDS APPROVAL Reg. 2238/2004, amend. 1910/2005, IAS 1 Presentation of financial statements 108/2006 IAS 2 Inventories Reg. 2238/2004, 1358/2007 Reg. 1725/2003 amend. 2238/2004, IAS 7 Statement of cash flows 1358/2007 Accounting policies, changes in accounting estimates and IAS 8 Reg. 2238/2004 errors IAS 10 Events after the balance sheet date Reg. 2238/2004 IAS 11 Construction contracts Reg. 1725/2003 Reg. 1725/2003 amend. 2236/2004, IAS 12 Income taxes 2238/2004, 211/2005 Reg. 1725/2003 amend. 2236/2004, IAS 14 Segment Reporting 2238/2004, 108/2006 Reg. 2238/2004 amend. 211/2005, IAS 16 Property, plant and equipment 1910/2005 IAS 17 Leases Reg. 2238/2004, 108/2006 IAS 18 Revenue Reg. 1725/2003 amend. 2236/2004 Reg. 1725/2003 amend. 2236/2004, IAS 19 Employee benefits 2238/2004, 211/2005, 1910/2005, 1358/2007 Accounting for government grants and disclosure of IAS 20 Reg. 1725/2003 amend. 2238/2004 government assistance IAS 21 The effects of changes in foreign exchange rates Reg. 2238/2004 IAS 23 Borrowing costs Reg. 1725/2003 amend. 2238/2004 IAS 24 Related party disclosures Reg. 2238/2004 amend. 1910/2005 IAS 26 Accounting and reporting by retirement benefit plans Reg. 1725/2003 IAS 27 Consolidated and separate financial statements Reg. 2238/2004, 1358/2007 IAS 28 Investments in associates Reg. 2238/2004 IAS 29 Financial reporting in hyperinflationary economies Reg. 1725/2003 amend. 2238/2004 IAS 31 Interests in joint ventures Reg. 2238/2004 Reg. 2237/2004 amend. 2238/2004, IAS 32 Financial instruments: presentation 211/2005, 1864/2005, 108/2006 Reg. 2238/2004 amend. 211/2005, 108/2006, IAS 33 Earnings per share 1358/2007 Reg. 1725/2003 amend. 2236/2004, IAS 34 Interim financial reporting 2238/2004, 1358/2007 Reg. 2236/2004 amend. 2238/2004, IAS 36 Impairment of assets 1358/2007 Reg. 1725/2003 amend. 2236/2004, IAS 37 Provisions, contingent liabilities and contingent assets 2238/2004 Reg. 2236/2004 amend. 2238/2004, IAS 38 Intangible assets 211/2005, 1910/2005 Reg. 2086/2004 amend. 2236/2004, IAS 39 Financial instruments: recognition and measurement 211/2005, 1751/2005, 1864/2005, 1910/2005, 2106/2005, 108/2006 IAS 40 Investment property Reg. 2238/2004 Reg. 1725/2003 amend. 2236/2004, IAS 41 Agriculture 2238/2004 Reg. 707/2004 amend. 2236/2004, First-time adoption of international financial reporting 2237/2004, 2238/2004, 211/2005, IFRS 1 standards 1751/2005, 1864/2005, 1910/2005, 108/2006 IFRS 2 Share-based payment Reg. 211/2005 IFRS 3 Business combinations Reg. 2236/2004 IFRS 4 Insurance contracts Reg. 2236/2004, 108/2006

154 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f IFRS 5 Non-current assets held for sale and discontinued operations Reg. 2236/2004, 1358/2007 IFRS 6 Exploration for and evaluation of mineral resources Reg. 1910/2005, 1358/2007 IFRS 7 Financial instruments: disclosures Reg. 108/2006 IFRS 8 Operating segments Reg. 1358/2007

SIC/IFRIC INTERPRETATION DOCUMENTS APPROVAL Changes in existing decommissioning, restoration and IFRIC 1 Reg. 2237/2004 similar liabilities Members' Shares in Co-operative Entities and Similar IFRIC 2 Reg. 1073/2005 Instruments

IFRIC 4 Determining whether an arrangement contains a lease Reg. 1910/2005

Rights to interests arising from decommissioning, restoration IFRIC 5 Reg. 1910/2005 and environmental rehabilitation funds Liabilities arising from participating in a specific market - IFRIC 6 Reg. 108/2006 waste electrical and electronic equipment Applying the restatement approach under IAS 29 “Financial IFRIC 7 Reg. 708/2006 reporting in hyperinflationary economies”

IFRIC 8 Scope of IFRS 2 Reg. 1329/2006

IFRIC 9 Reassessment of embedded derivatives Reg. 1329/2006

IFRIC 10 Interim financial reporting and impairment Reg. 610/2007

IFRIC 11 IFRS 2 - Group and treasury share transactions Reg. 611/2007

SIC 7 Introduction of the euro Reg. 1725/2003 amend. 2238/2004

Government assistance – no specific relation to operating SIC 10 Reg. 1725/2003 activities Reg. 1725/2003 amend. 2238/2004, SIC 12 Consolidation – special purpose entities 1751/2005 Jointly controlled entities – non-monetary contributions by SIC 13 Reg. 1725/2003 amend. 2238/2004 venturers

SIC 15 Operating leases – Incentives Reg. 1725/2003

SIC 21 Income taxes – Recovery of revalued non-depreciable assets Reg. 1725/2003 amend. 2238/2004

Income taxes – Changes in the tax status of an enterprise or SIC 25 Reg. 1725/2003 amend. 2238/2004 its shareholders Evaluating the substance of transactions in the legal form of SIC 27 Reg. 1725/2003 amend. 2238/2004 a lease

SIC 29 Service concession arrangements: disclosures Reg. 1725/2003

SIC 31 Revenue – Barter transactions involving advertising services Reg. 1725/2003 amend. 2238/2004

Reg. 1725/2003 amend. 2236/2004, SIC 32 Intangible assets – Website costs 2238/2004

155 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Explanatory tables

INFORMATION ON THE CONSOLIDATED BALANCE SHEET

Composition of direct funding from customers (liability items 20 and 30)

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro

Current accounts and deposits 40.163.401 40.290.843 40.765.936 Term deposits 1.143.994 1.661.489 1.736.439

Funds administered on behalf of public bodies 3.504 3.785 4.786 Loans 7.634.816 3.917.735 2.106.181 - finance leases 949 1.772 1.931 - other 7.633.867 3.915.963 2.104.250 Amounts due for commitments to repurchase own equity instruments 173.101 175.611 170.374 Liabilities relating to assets transferred not derecognised 1.119.963 2.357.428 3.135.842 - repurchase agreements 1.119.963 2.357.428 3.135.842 - other - - - Other payables 946.501 1.757.113 1.291.239 Total amounts due to customers 51.185.280 50.164.004 49.210.797 Bonds 36.349.136 37.012.563 36.783.657 Other certificates 6.067.048 3.805.306 3.443.265 Total securities issued 42.416.184 40.817.869 40.226.922 TOTAL DIRECT FUNDING 93.601.464 90.981.873 89.437.719

Composition of loans to customers (asset item 70)

30.6.2008 31.12.2007 30.6.2007

Figures in thousands of euro

Current account overdrafts 16.874.359 16.366.585 16.064.774 Reverse repurchase agreements 55.472 553.663 485.000 Mortgage loans 42.727.250 42.168.194 40.585.783 Credit cards, personal loans and salary backed loans 5.051.501 4.238.521 3.718.831 Finance leases 8.034.052 7.349.769 6.541.313 Factoring 1.964.030 2.094.787 1.749.716 Other transactions 16.580.915 17.621.024 18.431.626 Debt securities 181.780 141.604 132.712 Impaired assets 1.814.836 1.671.727 1.496.713 Assets transferred not derecognised 3.221.919 735.443 864.356 TOTAL 96.506.114 92.941.317 90.070.824

156 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Financial assets held for trading: composition (asset item 20)

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro Listed Unlisted Total Listed Unlisted Total Total

A. Financial assets Debt securities 880.155 244.681 1.124.836 2.095.516 332.865 2.428.381 5.234.907 of which: Assets transferred not derecognised 545.241 - 545.241 1.148.482 - 1.148.482 3.061.117 Equity instruments 190.055 89.331 279.386 36.555 112.917 149.472 571.704 Units in O.I.C.R. (collective investment instruments) 160.217 - 160.217 564.083 1 564.084 728.723 Loans - 8.953 8.953 - 12.942 12.942 - Impaired assets ------Total A 1.230.427 342.965 1.573.392 2.696.154 458.725 3.154.879 6.535.334 B. Derivative instruments Financial derivatives 10.896 691.572 702.468 1.129 655.572 656.701 726.270 Credit derivatives ------Total B 10.896 691.572 702.468 1.129 655.572 656.701 726.270 TOTAL (A+B) 1.241.323 1.034.537 2.275.860 2.697.283 1.114.297 3.811.580 7.261.604

Financial assets at fair value: composition (asset item 30)

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro Listed Unlisted Total Listed Unlisted Total Total

Debt securities - 665.882 665.882 - 1.175.680 1.175.680 3.501.859 Units in O.I.C.R. (collective investment instruments) 588.455 - 588.455 157.906 - 157.906 - TOTAL 588.455 665.882 1.254.337 157.906 1.175.680 1.333.586 3.501.859

Available-for-sale financial assets: composition (asset item 40)

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro Listed Unlisted Total Listed Unlisted Total Total

Debt securities 1.248.111 1.606.142 2.854.253 3.356.721 1.237.572 4.594.293 3.732.303 of which: Assets transferred not derecognised 3.204 48.408 51.612 105.953 246.363 352.316 116.474 Equity instruments 580.133 117.287 697.420 871.529 126.979 998.508 1.017.984 Units in O.I.C.R. (collective investment instruments) 21.347 104.246 125.593 25.842 108.820 134.662 129.968 Loans - 1.446 1.446 - 1.446 1.446 - Impaired assets - 94 94 - 94 94 192 TOTAL 1.849.591 1.829.215 3.678.806 4.254.092 1.474.911 5.729.003 4.880.447

Held-to-maturity financial assets: composition (asset item 50)

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro

Debt securities 1.401.857 1.254.520 1.249.867 of which: Assets transferred and not derecognised 1.027.647 1.058.000 809.006 Loans - - - Impaired assets - - - TOTAL 1.401.857 1.254.520 1.249.867

157 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f INFORMATION ON THE CONSOLIDATED INCOME STATEMENT

Interest and similar income: composition (item 10)

Performing financial assets Impaired Debt financial Other assets 30.6.2008 30.6.2007 Loans assets Figures in thousands of euro securities

1. Financial assets held for trading 14.637 - - - 14.637 33.341 2. Financial assets at fair value 22.418 - - - 22.418 90.549 3. Available-for-sale financial assets 59.988 - - - 59.988 72.887 3. Held-to-maturity financial assets 8.193 - - - 8.193 23.152 5. Loans to banks 497 113.812 - 145 114.454 100.137 6. Loans to customers 4.468 2.688.806 62.556 1.405 2.757.235 1.900.275 7. Hedging derivatives xxx - - - 8. Financial assets transferred not derecognised 28.227 41.523 - - 69.750 38.512 9. Other assets x x x 2.397 2.397 2.325 Total 138.428 2.844.141 62.556 3.947 3.049.072 2.261.178

Interest and similar expense: composition (item 20)

Liabilities and Other Securities 30.6.2008 30.6.2007 payables liabilities Figures in thousands of euro

1. Due to banks (132.748) x (289) (133.037) (173.394) 2. Due to customers (494.263) x (142) (494.405) (276.335) 3. Securities issued x (789.181) - (789.181) (547.498) 4. Financial liabilities held for trading (2.130) - (60.252) (62.382) (38.886) 5. Financial liabilities at fair value - - - - - 6. Financial liabilities for assets transferred not derecognised (29.663) - - (29.663) (18.673) 7. Other liabilities x x (400) (400) (73) 8. Hedging derivatives x x (69.189) (69.189) (46.284) Total (658.804) (789.181) (130.272) (1.578.257) (1.101.143)

Net interest income (item 30) 1.470.815 1.160.035

Commission income: composition (item 40) Commission expense: composition (item 50)

30.6.2008 30.6.2007 30.6.2008 30.6.2007 Figures in thousands of euro Figures in thousands of euro

a) guarantees granted 22.948 17.754 a) guarantees received (269) (221) b) credit derivatives - - b) credit derivatives - - c) management and trading services: c) management, trading and advisory services 392.189 365.365 (46.990) (36.331) 1. trading in financial instruments 21.161 21.043 1. trading in financial instruments (7.847) (9.518) 2. foreign exchange trading 7.712 6.992 2. foreign exchange trading (56) (76) 3. portfolio management 162.895 179.964 3. portfolio management (1.815) (1.612) 3.1. individual 43.083 43.887 3.1. own portfolio (338) (5) 3.2. collective 119.812 136.077 3.2. portfolio of others (1.477) (1.607)

4. custody and administration of securities 10.705 8.571 4. custody and administration of securities (4.631) (4.110) 5. depository bank 15.233 15.428 5. placement of securities (3.067) (1.071) 6. securities, products and services offered through 6. placement of securities 55.916 31.398 indirect networks (29.574) (19.944) 7. stock market orders 22.100 26.375 d) collection and payment services (35.200) (36.224) 8. advisory activities 2.891 2.162 e) other services (25.192) (20.284) 9. distribution of third party services 93.576 73.432 Total (107.651) (93.060) 9.1. portfolio managements 20 29 9.1.1. individual 20 29 9.1.2. collective - - 9.2. insurance products 62.291 48.423 9.3. other products 31.265 24.980 d) collection and payment services 89.853 81.766 e) servicer activities for securitisation transactions - - f) services for factoring transactions 11.025 5.215 g) tax collection and payment services - - h) other services 211.466 177.888 Total 727.481 647.988 Net commission income (item 60) 619.830 554.928

158 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Net profit (loss) from trading (item 80)

Net profit (loss) Profit from Losses from Gains (A) Losses (C) 30.6.2008 30.6.2007 trading (B) trading (D) Figures in thousands of euro [(A+B)-(C+D)]

1. Financial assets held for trading 9.275 72.244 (69.158) (82.087) (69.726) 36.884 1.1 Debt securities 2.358 6.451 (19.693) (3.581) (14.465) (15.234) 1.2 Equity instruments 2.764 20.090 (42.301) (22.524) (41.971) 29.683

1.3 Units in O.I.C.R. (collective investment instruments) 4.153 1.358 (5.986) (15.673) (16.148) 22.193 1.4 Loans ------1.5 Other - 44.345 (1.178) (40.309) 2.858 242 2. Financial liabilities held for trading 744 - (50) - 694 1.642 2.1 Debt securities 699 - (50) - 649 1.642 2.2 Debts ------2.3 Other 45 - - - 45 -

XXX X 63 3. Other financial liabilities: exchange rate differences 385 4. Derivative instruments 567.235 1.531.194 (529.918) (1.515.964) 57.157 (15.180) 4.1 Financial derivatives 567.235 1.531.004 (529.584) (1.515.964) 57.301 (14.910) - on debt securities and interest rates 470.682 1.429.956 (448.619) (1.432.954) 19.065 17.818 - on equity instruments and share indices 77.716 84.802 (73.943) (55.965) 32.610 (39.749) - on currencies and gold X X X X 4.610 1.983 - other 18.837 16.246 (7.022) (27.045) 1.016 5.038 4.2 Credit derivatives - 190 (334) - (144) (270) Total 577.254 1.603.438 (599.126) (1.598.051) (11.812) 23.731

Net profit (loss) from hedging (item 90)

30.6.2008 30.6.2007 Figures in thousands of euro

Net profit (loss) from hedging 14.116 4.436

Profits (losses) from disposal/repurchase (item 100)

Net profit (loss) Profits Losses 30.6.2007 Figures in thousands of euro 30.6.2008

Financial assets 1. Loans to banks - - - - 2. Loans to customers 943 (1.671) (728) 4.163 3. Available-for-sale financial assets 7.329 (215) 7.114 20.015 3.1 Debt securities 114 (215) (101) 184 3.2 Equity instruments 7.208 - 7.208 16.440 3.3 Units in O.I.C.R (collective investment instruments) 7 - 7 3.391 3.4 Loans - - - - 4. Held-to-maturity financial assets - - - - Total assets 8.272 (1.886) 6.386 24.178 Financial liabilities 1. Due to banks - - - - 2. Due to customers - - - - 3. Securities issued 4.172 (350) 3.822 2.950 Total liabilities 4.172 (350) 3.822 2.950 Total 12.444 (2.236) 10.208 27.128

Profit (loss) on financial assets and liabilities at fair value (item 110)

30.6.2008 30.6.2007 Figures in thousands of euro

Net profit (loss) on financial assets and liabilities at fair value (1.620) -

Net income from trading, hedging and disposal/repurchase activities and from assets/liabilities at fair value 10.892 55.295

159 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Other administrative expenses: composition [item 180 b)]

30.6.2008 30.6.2007 Figures in thousands of euro

A. Other administrative expenses (379.732) (299.331) Postal, telephone, telegraph, use of networks and ICT services (67.172) (54.861) Professional services (39.941) (34.357) Legal and debt collection expenses (17.903) (11.305) Maintenance, installation of machines, furnishings etc. (15.307) (12.490) Insurance premiums (16.018) (17.195) Counting and management of valuables (5.469) (7.226) Utility bills and tenancy of premises (28.975) (24.737) Advertising (19.031) (13.281) Forms and stationery (9.824) (6.952) Information services and land registry searches (7.157) (6.375) Property and equipment maintenance (12.927) (12.948) Security (9.851) (6.371) Entertainment expenses (1.456) (1.693) Electronic processing by third parties (17.574) (14.654) Statutory auditors' fees (1.430) (1.326) Membership fees (3.950) (3.593) Transport, removal and travel expenses (21.210) (13.728) Sundry goods (131) (623) Books and periodicals (1.606) (1.292) Rent payable (38.670) (29.927) Lease instalments on machines, software, furnishings, etc. (16.464) (7.794) Other contributions (1.034) (2.587) UBI merger expenses (21.190) (6.960) Other expenses (5.442) (7.056) B. Indirect taxes (95.055) (76.646) Indirect taxes and duties (5.009) (2.503) Stamp duty (67.881) (56.476) Municipal property tax (3.563) (3.017) Other taxes (18.602) (14.650) Total (474.787) (375.977)

160 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

STATEMENT OF THE CHIEF EXECUTIVE OFFICER AND OF THE SENIOR OFFICER RESPONSIBLE FOR PREPARING THE COMPANY ACCOUNTING DOCUMENTS

161 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

162 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Certification of the half year condensed financial statements pursuant to Art. 154 bis of Legislative Decree No 58/98

1. The undersigned Giampiero Auletta Armenise, Chief Executive Officer, and Elisabetta Stegher, Senior Officer Responsible for preparing the company accounting documents of UBI Banca SCpA, having taken account of the provisions of paragraphs 3 and 4 of article 154 bis of Legislative Decree No. 58 of 24th February 1998, hereby certify to: the adequacy in relation to the characteristics of the company and the effective application of the administrative and accounting procedures for the preparation of the half year condensed financial statements during the course of the first half of 2008.

2. The model employed

The assessment of the adequacy of the administrative and accounting procedures for the preparation of the half year condensed financial statements as at and for the period ended 30th June 2008 was based on an internal model defined by UBI Banca SCpA, as described in the consolidated report of 31/12/2007, developed in accordance with the framework drawn up by the Committee of Sponsoring Organisations of the Treadway Commission (COSO) and with the framework Control Objectives for IT and related technology (COBIT) which represent the generally accepted international standards for internal control systems.

3. They also certify that:

3.1 the half year condensed financial statements: a) were prepared in compliance with the applicable international accounting standards recognised by the European Community in accordance with the Regulation No. 1605/2002 (EC) issued by the European Parliament on 19th July 2002; b) correspond to the records contained in the accounting books of the company; c) have been prepared in compliance with the International Financial Reporting Standards adopted by the European Union and also with the regulations issued to implement Art. 9 of Legislative Decree No. 38/2005, insofar as they are considered applicable, and to the best of their knowledge give a true and fair view of the capital, economic and financial position of the issuer and of the group of companies included in the consolidation. 3.2 the half year directors’ report contains at least references to important events that occurred in the first six months of the year and to their impact on the half year condensed financial statements, together with a description, insofar as they are known, of the main risks and uncertainties relating to the remaining six months of the year. The half year directors’ report also contains information on significant transactions with related parties.

26th August 2008

Giampiero Auletta Armenise Elisabetta Stegher Chief Executive Officer Senior Officer Responsible for the preparation of the corporate accounting documents

163 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

164 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

INDEPENDENT AUDITORS' REPORT

165 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

166 UBI Banca Group WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

168 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

INFORMATION ON THE PERFORMANCE OF THE PARENT BANK UBI BANCA Scpa IN THE FIRST HALF OF 2008

UBI Banca Scpa

169 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The 2008 and 2007 (pro-forma) reclassified financial statements and reconciliations

Notes to the financial statements

The mandatory financial statements prepared on the basis of Bank of Italy Circular No. 262 of 22nd December 2005 and subsequent amendments and additions incorporate the balance sheet and income statement figures for the former Banca Lombarda e Piemontese from 1st April 2007, the date on which the merger took effect.

In order to allow a uniform comparison of the performance of UBI Banca Scpa, pro-forma reclassified financial statements as at 30th June 2007 and as at 31st December 2007 have been prepared which include the figures relating to the former BLP for the full first half and full year 2007 and take therefore account of the balance sheet and income statement items of the former BLP for the first three months of the year and also of the PPA as illustrated below.

In compliance with the international standard IFRS 3, the cost of acquisition (at the date of acquisition itself, amounting to 4,1 billion euro) was recognised in both the reclassified and the half year condensed mandatory balance sheets by allocating it to the fair value of the assets and liabilities of the merged bank, while maintaining the difference within goodwill1.

The pro-forma reclassified income statements include, in turn, the impact of the purchase price allocation, recalculated for all the previous comparative periods. That impact was positive for UBI Banca, although only modest in size.

The reclassified income statement figures to 30th June 2007 also incorporate, on an accruals basis, the amendments to Art. 52 of the Corporate By-Laws of UBI Banca, decided when the financial statements for the year ended 31st December 2007 were approved, concerning the allocation of a share of net profit to staff pensions and social security, to be charged directly to staff costs (+4 million the impact on staff costs in the first half of 2007) 2.

Finally, the balance sheets as at 30th June 2007 and 31st December 2007 were affected by the reclassification of repurchase and reverse repurchase agreements with an institutional counterparty from the item “net interbank position” to the item “amounts due to/from customers”, which also affected the related items in the income statements. This reclassification was necessary in order to align the classification of this counterparty in the former BL and BPU IT systems.

Furthermore, no pro-forma restatement was made for the figures to 30th June 2007 with regard to the contribution of UBI Banca’s service and support operations’ line of business to UBI.S, which took effect from 1st October 2007.

The following rules have been applied to the reclassified statements to allow a vision that is more consistent with a management accounting style: - the tax recoveries recognised under item 190 of the mandatory income statement (other operating income/expenses) were reclassified as a reduction in direct taxes included within other administrative expenses; - the item net impairment losses on property, plant and equipment and intangible assets includes items 170 and 180 in the mandatory financial statements and the instalments relating to the depreciation of costs incurred for improvements to third party assets classified under item 190;

1 An analysis of the method adopted and details of the purchase price allocation to the assets and liabilities of the merged bank is given in the 2007 Annual Report in the Notes to the Financial Statements, Part G – Business combinations concerning companies or lines of business, which may be consulted. In this respect the indistinct goodwill was immediately tested for impairment in the 2007 financial year with results which confirmed the values recognised for the purchase price allocation. 2 See in this respect the 2007 Annual Report, Notes to the Financial Statements, Part A – Accounting Policies.

170 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - integration costs include leaving incentive scheme expenses, consultancy costs and promotional expenses recognised within staff costs and other administrative expenses respectively.

The comments on the performance of the main balance sheet and income statement items have been made on the basis of the reclassified financial statements and the pro-forma reclassified financial statements for the comparative periods.

In order to facilitate the analysis of UBI Banca’s performance and in compliance with CONSOB Communication No. DEM/6064293 of 28th July 2006, a special schedule has been included in the reclassified financial statements to show the impact on earnings only of the principal non- recurring events and items – the relative effects on capital and cash flow not being significant, because they are closely linked – which are summarised as follows3: first half 2008 - integration costs resulting from the merger transaction; - profit on the disposal of an interest in UBI Pramerica; - disposal of equity investments (Key Client formerly CIM Italia); - tax redemption on differences between statutory accounting values and values for tax purposes as at 31st December 2007; - loss on the disposal an interest in UBI Sistemi e Servizi. first half 2007 - reform of supplementary pensions; - integration costs resulting from the merger transaction (including an estimate of the costs of writing- off software and hardware to be abandoned); - the non recoverability of the prior year tax losses of the former Banca Lombarda e Piemontese Spa relating to the first quarter of 2007, following the negative reply received from the tax authorities to the appeal presented concerning the method of applying the UBI tax consolidation.

3 In order to refine accounting policies and processes a new method was formulated for the definition of non-recurring items in the first Annual Report of UBI Banca. They are now selected on the basis of their incidence on pre-tax profit (the significance of a single event, as well as a general assessment of items excluded after the procedure).

171 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified balance sheet

31.12.2007 30.6.2007 30.6.2008 Changes % change Changes % change pro-forma pro-forma A A-B A/B A-C A/C Figures in thousands of euro B C

ASSETS 10. Cash and cash equivalents 89.797 66.812 22.985 34,4% 53.231 36.566 68,7% 20. Financial assets held for trading 2.017.122 2.753.772 -736.650 -26,8% 5.341.853 -3.324.731 -62,2% 30. Financial assets at fair value 1.195.485 981.148 214.337 21,8% 1.889.981 -694.496 -36,7% 40. Available-for-sale financial assets 2.132.791 2.060.909 71.882 3,5% 1.247.385 885.406 71,0% 50. Held-to-maturity financial assets 1.391.788 1.244.574 147.214 11,8% 1.240.169 151.619 12,2% 60. Loans to banks 27.526.361 19.708.390 7.817.971 39,7% 21.201.983 6.324.378 29,8% 70. Loans to customers 9.244.410 10.266.957 -1.022.547 -10,0% 8.478.901 765.509 9,0% 80. Hedging derivatives 25.396 48.975 -23.579 -48,1% 28.508 -3.112 -10,9% 100. Equity investments 11.709.110 11.606.918 102.192 0,9% 11.484.117 224.993 2,0% 110. Property, plant and equipment 659.019 678.205 -19.186 -2,8% 695.735 -36.716 -5,3% 120. Intangible assets 576.559 588.673 -12.114 -2,1% 611.495 -34.936 -5,7% of which: goodwill 569.058 569.694 -636 -0,1% 578.294 -9.236 -1,6% 130. Tax assets 277.708 528.085 -250.377 -47,4% 290.307 -12.599 -4,3%

140. Non-current assets and disposal groups held for sale 13.687 43.866 -30.179 -68,8% 8.065 5.622 69,7% 150. Other assets 1.274.995 1.404.609 -129.614 -9,2% 839.603 435.392 51,9% Total assets 58.134.228 51.981.893 6.152.335 11,8% 53.411.333 4.722.895 8,8%

LIABILITIES AND SHAREHOLDERS’ EQUITY 10. Due to banks 26.641.509 20.505.577 6.135.932 29,9% 22.178.367 4.463.142 20,1% 20. Due to customers 3.788.211 2.872.466 915.745 31,9% 2.271.058 1.517.153 66,8% 30. Securities issued 14.567.300 14.657.253 -89.953 -0,6% 15.241.039 -673.739 -4,4% 40. Financial liabilities held for trading 831.400 842.341 -10.941 -1,3% 1.168.412 -337.012 -28,8% 60. Hedging derivatives 70.276 54.001 16.275 30,1% 68.800 1.476 2,1% 80. Tax liabilities 349.267 606.326 -257.059 -42,4% 508.711 -159.444 -31,3% 100. Other liabilities 1.056.770 1.421.759 -364.989 -25,7% 881.931 174.839 19,8% 110. Staff severance provisions 44.197 51.037 -6.840 -13,4% 54.136 -9.939 -18,4% 120. Provisions for liabilities and charges: 16.045 8.993 7.052 78,4% 55.832 -39.787 -71,3% a) pension and similar obligations ------b) other provisions 16.045 8.993 7.052 78,4% 55.832 -39.787 -71,3% 130.+160. +170.+180. Share capital, share premiums and reserves 10.060.756 10.141.731 -80.975 -0,8% 10.165.110 -104.354 -1,0% 200. Profit for the period 708.497 820.409 n.s. n.s. 817.937 -109.440 -13,4% Total liabilities and shareholders’ equity 58.134.228 51.981.893 6.152.335 11,8% 53.411.333 4.722.895 8,8%

172 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified income statement

2nd Quarter 30.6.2007 2nd Quarter 31.12.2007 30.6.2008 Changes % change 2007 pro-forma 2008 pro-forma Figures in thousands of euro pro-forma

10.-20. Net interest income (112.822) (90.336) 22.486 24,9% (62.220) (46.725) (195.803)

70. Dividends and similar income 901.919 970.818 (68.899) (7,1%) 870.280 942.921 972.298

40.-50. Net commission income 6.749 8.074 (1.325) (16,4%) 2.213 3.725 19.181

80.+90.+ Net income from trading, hedging and disposal/repurchase activities 100.+110. and from assets/liabilities at fair value (24.613) 42.774 (67.387) n.s. 14.157 24.505 64.015

190. Other net operating income/(expense) 96.339 171.235 (74.896) (43,7%) 45.771 85.010 305.474

Operating income 867.572 1.102.565 (234.993) (21,3%) 870.201 1.009.436 1.165.165

150.a Staff costs (81.781) (128.910) (47.129) (36,6%) (42.162) (61.355) (228.151)

150.b Other administrative expenses (79.799) (92.861) (13.062) (14,1%) (40.863) (47.299) (192.062) Net impairment losses on property, plant and equipment and 170.+180. intangible assets (32.165) (36.391) (4.226) (11,6%) (16.087) (19.100) (68.838)

Operating costs (193.745) (258.162) (64.417) (25,0%) (99.112) (127.754) (489.051)

Net operating income 673.827 844.403 (170.576) (20,2%) 771.089 881.682 676.114

130.a Net impairment losses on loans 160 42 118 281,0% 46 3 (1.192)

130.b Net impairment losses on other assets and liabilities +c+d (185) (22) 163 740,9% (159) (12) (5.927)

160. Net provisions for liabilities and charges (1.376) (1.375) 1 0,1% 945 (685) (3.742)

210.+240. Profit (loss) from disposal of equity investments 18.351 (141) 18.492 n.s. (5.157) (131) (44)

Profit (loss) on continuing operations before tax 690.777 842.907 (152.130) (18,0%) 766.764 880.857 665.209

290. Taxes on income for the period for continuing operations 30.081 24.260 5.821 24,0% 3.370 3.677 222.014

Integration costs (12.361) (49.230) (36.869) (74,9%) (5.716) (49.230) (66.736) of which: staff costs (6.466) (44.003) (37.537) (85,3%) (2.212) (44.003) (52.019) other administrative expenses (10.530) (6.103) 4.427 72,5% (5.646) (6.103) (24.779) net impairment losses on property, plant and equipment and intangible assets (54) (25.877) (25.823) (99,8%) (27) (25.877) (26.854) taxes 4.689 26.753 (22.064) (82,5%) 2.169 26.753 36.916

280. After tax profit (loss) from discontinued operations ------(78)

Profit for the period 708.497 817.937 (109.440) (13,4%) 764.418 835.304 820.409

173 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Quarterly reclassified income statements

2008 2007

4th Quarter 3rd Quarter 2nd Quarter 1st Quarter 2nd Quarter 1st Quarter Figures in thousands of euro pro-forma pro-forma pro-forma pro-forma

10.-20. Net interest income (62.220) (50.602) (56.604) (48.863) (46.725) (43.611)

70. Dividends and similar income 870.280 31.639 1.285 195 942.921 27.897

40.-50. Net commission income 2.213 4.536 5.247 5.860 3.725 4.349

80.+90.+ Net income from trading, hedging and disposal/repurchase 14.157 100.+110. activities and from assets/liabilities at fair value (38.770) 26.247 (5.006) 24.505 18.269

190. Other net operating income/(expense) 45.771 50.568 48.298 85.941 85.010 86.225

Operating income 870.201 (2.629) 24.473 38.127 1.009.436 93.129

150.a Staff costs (42.162) (39.619) (37.246) (61.995) (61.355) (67.555)

150.b Other administrative expenses (40.863) (38.936) (55.378) (43.823) (47.299) (45.562)

170.+ Net impairment losses on property, plant and equipment and 180. intangible assets (16.087) (16.078) (13.908) (18.539) (19.100) (17.291)

Operating costs (99.112) (94.633) (106.532) (124.357) (127.754) (130.408)

Net operating income 771.089 (97.262) (82.059) (86.230) 881.682 (37.279)

130.a Net impairment losses on loans 46 114 (1.496) 262 3 39

130.b+ Net impairment losses on other assets and liabilities (159) c+d (26) 507 (6.412) (12) (10)

160. Net provisions for liabilities and charges 945 (2.321) (1.616) (751) (685) (690)

210.+ 240. Profit (loss) from disposal of equity investments (5.157) 23.508 174 (77) (131) (10)

Profit (loss) on continuing operations before tax 766.764 (75.987) (84.490) (93.208) 880.857 (37.950)

290. Taxes on income for the period for continuing operations 3.370 26.711 173.481 24.273 3.677 20.583 Integration costs (5.716) (6.645) (15.121) (2.385) (49.230) -

After tax profit (loss) from discontinued operations 280. - - (54) (24) - -

Profit for the period 764.418 (55.921) 73.816 (71.344) 835.304 (17.367)

174 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reclassified income statement net of the most significant non-recurring items

non-recurring items 30.6.2008 non-recurring items 30.6.2007 pro-forma net of non- Integration costs recurring 30.6.2007 net of non- Changes % changes 30.6.2008 Loss on pro-forma Former BLP recurring itemsProfit on Pension (A-B) (A/B) ProfitTax on disposal of Other costs1st quarter tax items Integration disposal of Leaving reform effect disposal of Key UBI Systems e (A) and IT system loss redemption EC UBI Pramerica incentives sectioncosts Client Services write-offs (B) shares Figures in thousands of euro shares Net interest income (112.822) (112.822) (90.336) (90.336) 22.486 24,9%

Dividends and similar income 901.919 901.919 970.818 970.818 (68.899) (7,1%)

Net commission income 6.749 6.749 8.074 8.074 (1.325) (16,4%) Net income from trading, hedging and disposal/repurchase activities and from assets/liabilities at fair value (24.613) (7.055) (31.668) 42.774 42.774 (74.442) n.s.

Other net operating income/(expense) 96.339 96.339 171.235 171.235 (74.896) (43,7%)

Operating income 867.572 - - (7.055) - - 860.517 1.102.565 - - - - 1.102.565 (242.048) (22,0%)

Staff costs (81.781) (81.781) (128.910) (5.499) (134.409) (52.628) (39,2%)

Other administrative expenses (79.799) (79.799) (92.861) (92.861) (13.062) (14,1%)

Net impairment losses on property, plant and equipment and intangible assets (32.165) (32.165) (36.391) (36.391) (4.226) (11,6%)

Operating costs (193.745) - - - - - (193.745) (258.162) - - (5.499) - (263.661) (69.916) (26,5%)

Net operating income 673.827 - - (7.055) - - 666.772 844.403 - - (5.499) - 838.904 (172.132) (20,5%)

Net impairment losses on loans 160 160 42 42 118 281,0%

Net impairment losses on other assets/liabilities (185) (185) (22) (22) 163 740,9%

Net provisions for liabilities and charges (1.376) (1.376) (1.375) (1.375) 1 0,1%

Profit/loss on disposal of equity investments 18.351 3.469 (22.017) (197) (141) (141) 56 39,7%

Profit (loss) on continuing operations before tax 690.777 - - (7.055) 3.469 (22.017) 665.174 842.907 - - (5.499) - 837.408 (172.234) (20,6%) Taxes on income for the period for continuing operations 30.081 (2.377) 97 1.835 6.011 35.647 24.260 1.815 7.000 33.075 2.572 7,8%

Integration costs (12.361) 12.361 -

(49.230) 29.135 20.095 - - - of which: staff costs (6.466) 6.466 - (44.003) 43.485 518 - - -

other administrative expenses (10.530) 10.530 - (6.103) 6.103 - - -

net impairment losses on property, plant and equipment and intangible assets (54) 54 - (25.877) 25.877 - - -

taxes 4.689 (4.689) - 26.753 (14.350) (12.403) - - -

Profit (loss) of non current assets net of taxes ------

Profit for the period 708.497 12.361 (2.377) (6.958) 5.304 (16.006) 700.821 817.937 29.135 20.095 (3.684) 7.000 870.483 (169.662) (19,5%)

175 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reconciliation schedule as at 30th June 2008

30th June 30th June RECLASSIFIED INCOME STATEMENT reclassifications 2008 2008

Items separate Deprec. for reclassified mandatory integration tax improvement financial financial costs recoveries s to leased statement Figures in thousands of euro statement assets

10.-20. Net interest income (112.822) (112.822)

70. Dividends and similar income 901.919 901.919

40.-50. Net commission income 6.749 6.749

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and from 100.+110. assets/liabilities at fair value (24.613) (24.613)

190. Other net operating income/(expense) 96.310 (86) 115 96.339

Operating income 867.543 - (86) 115 867.572

150.a Staff costs (88.247) 6.466 (81.781)

150.b Other administrative expenses (90.415) 10.530 86 (79.799) Net impairment losses on property, plant and equipment and intangible 170.+180. assets (32.104) 54 (115) (32.165)

Operating costs (210.766) 17.050 86 (115) (193.745)

Net operating income 656.777 17.050 - - 673.827

130.a Net impairment losses on loans 160 160

130.b+c+d Net impairment losses on other assets and liabilities (185) (185)

160. Net provisions for liabilities and charges (1.376) (1.376)

210.+240. Profit (loss) from disposal of equity investments 18.351 18.351

Profit (loss) on continuing operations before tax 673.727 17.050 - - 690.777

290. Taxes on income for the period for continuing operations 34.770 (4.689) 30.081

Integration costs (12.361) (12.361)

Profit for the period 708.497 - - - 708.497

Reconciliation schedule to 30th June 2007

30th June 30th June RECLASSIFIED INCOME STATEMENT pro-forma effect reclassifications 2007 pro- 2007 forma

Items separate 1st Quarter Amendment Deprec. for PPA effect reclassified mandatory 2007 Banca to Art. 52 of integration tax improvement 1st Quarter financial financial Lombarda e Corporate By- costs recoveries s to leased 2007 statement statement Figures in thousands of euro Piemontese Laws assets

10.-20. Net interest income (79.175) (12.075) 914 (90.336)

70. Dividends and similar income 970.636 182 970.818

40.-50. Net commission income 6.733 1.341 8.074

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and from 100.+110. assets/liabilities at fair value 29.647 13.127 42.774

190. Other net operating income/(expense) 163.395 8.061 (334) 113 171.235

Operating income 1.091.236 10.636 914 - (334) 113 1.102.565

150.a Staff costs (157.463) (11.459) (3.991) 44.003 (128.910)

150.b Other administrative expenses (89.708) (9.590) 6.103 334 (92.861)

170.+180. Net impairment losses on property, plant and equipment and intangib (61.647) (451) (57) 25.877 (113) (36.391)

Operating costs (308.818) (21.500) (57) (3.991) 75.983 334 (113) (258.162)

Net operating income 782.418 (10.864) 857 (3.991) 75.983 - - 844.403

130.a Net impairment losses on loans 26 16 42

130.b+c+d Net impairment losses on other assets and liabilities (21) (1) (22)

160. Net provisions for liabilities and charges (1.364) (11) (1.375)

210.+240. Profit (loss) from disposal of equity investments (118) (23) (141)

Profit (loss) on continuing operations before tax 780.941 (10.883) 857 (3.991) 75.983 - - 842.907

290. Taxes on income for the period for continuing operations 48.096 3.245 (328) (26.753) 24.260

Integration costs (49.230) (49.230)

Profit for the period 829.037 (7.638) 529 (3.991) - - - 817.937

176 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Reconciliation schedule to 31st December 2007

31st 31st December RECLASSIFIED INCOME STATEMENT December pro-forma effect reclassifications 2007 pro- 2007 forma Items separate 1st Q. 2007 Deprec. for reclassified mandatory Banca PPA effect integration tax improvement financial financial Lombarda e 1st Q. 2007 costs recoveries s to leased statement Figures in thousands of euro statement Piemontese assets

10.-20. Net interest income (184.186) (12.073) 456 (195.803)

70. Dividends and similar income 972.115 183 - 972.298

40.-50. Net commission income 17.840 1.341 - 19.181

80.+90.+ Net income from trading, hedging and disposal/repurchase activities and from 100.+110. assets/liabilities at fair value 50.888 13.127 - 64.015

190. Other net operating income/(expense) 297.561 8.054 - (370) 229 305.474

Operating income 1.154.218 10.632 456 - (370) 229 1.165.165

150.a Staff costs (268.712) (11.458) - 52.019 (228.151)

150.b Other administrative expenses (207.622) (9.589) - 24.779 370 (192.062)

170.+180. Net impairment losses on property, plant and equipment and intangible asse (94.985) (450) (28) 26.854 (229) (68.838)

Operating costs (571.319) (21.497) (28) 103.652 370 (229) (489.051)

Net operating income 582.899 (10.865) 428 103.652 - - 676.114

130.a Net impairment losses on loans (1.208) 16 - (1.192)

130.b+c+d Net impairment losses on other assets and liabilities (5.927) - - (5.927)

160. Net provisions for liabilities and charges (3.732) (10) - (3.742)

210.+240. Profit (loss) from disposal of equity investments (23) (21) - (44)

Profit (loss) on continuing operations before tax 572.009 (10.880) 428 103.652 - - 665.209

290. Taxes on income for the year for continuing operations 255.850 3.243 (163) (36.916) 222.014

Integration costs - - - (66.736) (66.736)

280. After tax profit (loss) from discontinued operations (78) - - (78)

Profit for the year 827.781 (7.637) 265 - - - 820.409

177 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Performance in the period

These comments relate to the pro-forma reclassified financial statements – the income statement, the quarterly income statements and the income statement net of the main non-recurring items – contained in the previous pages in which the figures for UBI Banca Scpa as at 30th June 2008 have been compared with the pro-forma figures as at 30th June 2007. In order to provide consistent and uniform information, the tables furnishing details have been reclassified and restated pro-forma in the same manner. The explanatory notes that precede the reclassified financial statements may be consulted as may the reconciliation schedules for a description of the reclassification and also for details of the restatement of the comparative pro-forma figures and of the PPA allocation.

It will also be recalled that on 1st October 2007, UBI Banca contributed its “ICT and organisation” operations to UBI.S, the subsidiary responsible for the centralised provision of services, functions and processing common to all Group banks and companies and this modified the composition of the income of the Parent Bank compared to the comparative periods.

The first half of 2008 ended with a net profit of 708,5 million euro for UBI Banca, more contained compared to approximately 818 million euro earned in the same period of 2007 (-13,4%). The economic and financial contexts in which the two results were obtained are very different. The first six months of 2008 were in fact characterised by high volatility on financial markets and a much broader credit spread which penalised UBI Banca in its role as the Parent Bank, with its operations strongly concentrated on the management of Group finances. In addition to this, the main component of its income, dividends, also decreased to some extent following on the one hand the results for 2007 of some of the banks and companies in the Group - which were dampened either by non-recurring costs or by a decrease in recurring and non-recurring income – and, on the other hand, the dividend distribution policies of BPB, BBS and BPCI, as these banks decided to allocate the gains made on the disposal of branches required by the Antitrust Authority to reserves.

The UBI Banca income statement for the first half includes total positive non-recurring items amounting to 7,7 million euro from the disposal of shares of UBI Pramerica and an interest held in Key Client (formerly Cim Italia) and from a tax redemption, which more than offset the integration costs and the accounting loss on the sale of shares of UBI Sistemi e Servizi to Group member companies. Non-recurring items had a negative impact in the first half of 2007 amounting to 52,5 million euro, due mainly to integration costs that were incurred. Net of non-recurring items, the profit of the Parent Bank fell from 870,5 million euro in 2007 to the current 700,8 million euro.

Dividends and similar income Operating income generated in the first half amounted to 867,6 30.6.2007 30.6.2008 pro-forma million euro, compared to 1.102,6 Fi gur es in thousands of euro million euro in June 2007, Banca Popolare di Bergamo Spa 305.658 268.220 consisting almost entirely of the Banco di Brescia Spa 178.863 177.990 item dividends and similar income. Banca Popolare di Ancona Spa 48.563 84.958 Banca Popolare Commercio e Industria Spa 54.727 74.775 The latter did in fact contribute Centrobanca Spa 47.786 68.266 901,9 million euro (970,8 million Banca Carime Spa 50.369 56.268 in 2007) to profits, consisting Banca Regionale Europea Spa 47.305 48.031 mainly of dividends from the UBI Pramerica SGR Spa 10.228 22.607 investments in Group member CBI Factor Spa 15.974 13.752 companies. B@nca 24-7 Spa 11.520 12.500 BPU Esaleasing Spa 12.509 10.068 Net interest income, which is Altre partecipazioni (voce 100) 54.176 68.174 structurally negative in relation to Dividends received from item 100 equity investments 837.678 905.609 the specific activities performed by Dividends received from item 40 AFS 58.084 59.150 of which Intesa SanPaolo 53.264 53.264 the Bank, totalled -112,8 million Dividends received from item 20 for trading 6.157 6.059 compared to -90,3 million in the Total 901.919 970.818 first half of 2007. The main determinants were as follows:

178 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f • +88,6 million euro of interest on the portfolio of securities owned, a decrease compared to 114,7 million euro in 2007, due to the reduction in the stock of financial assets (-2,6 billion euro over twelve months, including -1,3 billion euro due to disinvestments from capitalisation policies); • +2,3 million euro (-13,4 million in 2007) consisting of the net balance on interbank interest income and expense. That balance became positive due to the significant policy of intragroup lending to support growth in lending business with customers by the network banks; • -203,7 million euro resulting from business with customers consisting on the one hand, mainly of funding from institutional customers who purchased EMTN bonds and, on the other hand, of lending to the leasing and factoring companies of the Group. Despite the increase in interest income earned, the negative net balance increased (compared to -192,3 million euro for the first half 2007) as a result greater growth in interest expense paid as a result of higher interest rates.

Net commissions amounted to 6,7 million euro compared to 8,1 million euro in June 2007. Greater commission expense, connected with the specific operational support functions performed by UBI Banca on behalf of Group member companies, was accompanied by a fall in commission income for collection and payment services, which were not sufficiently compensated by the increase in revenues from depository bank services following the centralisation at UBI Banca of the business for the fund operations of the former BL Group since 1st July 2007.

Net profit (loss) from trading, hedging and disposal/repurchase activities and assets/liabilities at fair value was negative by 24,6 million euro, compared to +42,8 million euro in the same period of 2007. The performance in the first half was affected by trends on equity markets, as shown by the net result from trading, which was negative on aggregate by 34,9 million euro (including -22,3 million euro on equity instruments and -16,1 million euro on investments in hedge funds), only partially off-set by net income on trading in debt securities and derivative instruments. The result for financial assets and liabilities at fair value relating to investments in hedge funds made subsequent to 1st July 2007, also recorded a loss, amounting to 1,6 million euro. Profit on the disposal/repurchase of financial assets totalled 7,1 million euro, relating almost entirely to a non-recurring profit from the disposal of an AFS financial asset (Key Client).

Other operating income and costs amounted to 96,3 million euro, compared to 171,2 million euro in 2007, which reflects the decrease in income for services provided to Group member companies (82,3 million euro compared to the previous 156,9 million euro) following the operational centralisation of these activities at the subsidiary UBI.S.

As concerns operating costs (193,7 million euro compared to 258,2 million euro), these fell significantly for all items of spending, mainly as a result of the centralisation of operations at UBI.S already mentioned. In detail: • staff costs fell to 81,8 million euro (from 128,9 million euro in 2007 which benefited, amongst other things, from the positive impact of the pension reform affecting the staff severance provision, amounting to 5,5 million euro); • other administrative expenses also fell to 79,8 million euro (92,9 million euro) the result of lower costs for organisational, corporate and legal consultation services and of the progressive reduction in costs for the IT system that is being discontinued. There was related growth on the other hand in expenses for services provided by Group member companies, which totalled 25,3 million euro in the first half; • net impairment losses on property, plant and equipment and intangible assets fell to 32,2 million euro (36,4 million euro), the result of the transfer of some parts of the former BPU IT system to UBI.S.

179 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f As a result of the performance described above, net operating income amounted to 673,8 million euro (844,4 million euro in the first half of 2007).

The balance on net impairment losses and provisions was negative by 1,4 million euro (unchanged compared to the previous first half).

Profits on the disposal of equity investments, amounting to 18,4 million euro, relate to the sale of shares in UBI Pramerica SGR to our American partner (amounting to 22 million euro) and to the loss on the sale of shares in UBI Sistemi e Servizi to Group member companies (amounting to -3,5 million euro), performed on the basis of the book value of the company as at 31st December 2007.

Net profit (loss) from trading

Profit from Losses from Net profit (loss) Gains Losses 30.6.2007 trading trading 30.6.2008 (A) (C) pro-forma (B) (D) Figures in thousands of euro [(A+B)-(C+D)]

1. Financial assets held for trading 7.394 31.364 (57.161) (64.716) (83.119) 36.690 1.1 Debt securities 527 3.141 (12.254) (3.144) (11.730) (3.758) 1.2 Equity instruments 2.714 1.770 (38.927) (20.699) (55.142) 9.559 1.3 Units in O.I.C.R. (collective investment instruments) 4.153 1.358 (5.980) (15.673) (16.142) 30.934 1.4 Loans ------1.5 Other - 25.095 (25.200) (105) (45) 2. Financial liabilities held for trading 699 - (50) - 649 1.879 2.1 Debt securities 699 - (50) - 649 1.879 2.2 Debts ------2.3 Other ------

XXXX (300) 3. Other financial liabilities: exchange rate differences (1.193) 4. Derivative instruments 348.627 1.030.982 (328.393) (1.004.878) 47.913 1.322 4.1 Financial derivatives 348.627 1.030.975 (328.058) (1.004.878) 48.241 1.773 - on debt securities and interest rates 299.426 966.827 (284.089) (968.295) 13.869 13.720 - on equity instruments and share indices 45.856 55.730 (40.693) (28.105) 32.788 (13.813) - on currencies and gold X X X X 1.575 1.134 - other 3.345 8.418 (3.276) (8.478) 9 732 4.2 Credit derivatives - 7 (335) (328) (451) Total 356.720 1.062.346 (385.604) (1.069.594) (34.857) 38.698

Net profit (loss) from hedging

30.6.2007 30.6.2008 Figures in thousands of euro pro-forma

Net profit (loss) from hedging 4.733 585

Profits (losses) from disposal/repurchase

Net profit (loss) 30.6.2007 Profits Losses Figures in thousands of euro 30.6.2008 pro-forma

Financial assets 1. Loans to banks - - - - 2. Loans to customers 1 - 1 - 3. Available-for-sale financial assets 7.103 (34) 7.069 3.506 3.1 Debt securities 48 (34) 14 - 3.2 Equity instruments 7.055 - 7.055 1.322 3.3 Units in O.I.C.R (collective investment instruments). - - - 2.184 3.4 Loans - - - - 4. Held-to-maturity financial assets - - - - Total assets 7.104 (34) 7.070 3.506 Financial liabilities 1. Due to banks - - - - 2. Due to customers - - - - 3. Securities issued 85 (24) 61 (15) Total liabilities 85 (24) 61 (15) Total 7.189 (58) 7.131 3.491

Net profit (loss) on financial assets and liabilities at fair value

30.6.2007 30.6.2008 Figures in thousands of euro pro-forma

Net profit (loss) on financial assets and liabilities at fair value (1.620) -

Net profit (loss) on financial assets and liabilities at fair value

Net income from trading, hedging and disposal/repurchase activities and from assets/liabilities at fair value (24.613) 42.774

180 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Taxes on income for the period – positive as a result of the application of the tax consolidation law, which allows structurally negative taxable income to be compensated due to the presence of dividends taxed at reduced rates – amounted to 30,1 million euro and included negative non-recurring items amounting to 5,6 million. The latter consisted mainly of tax on the disposal of equity investments (approximately 8 million euro) and included the positive impact of the tax redemption amounting to 2,4 million euro.

Integration costs recognised in the first half amounted to 17,1 million euro (before tax of 4,7 million euro), including 6,5 million relating to personnel and 10,6 million euro to other administrative expenses and impairment losses on property, plant and equipment and intangible assets.

* * *

As concerns balance sheet items, at the end of June direct funding from customers (liabilities items 20 and 30) amounted to 18,4 billion euro (14,6 billion euro from securities issued), an increase compared to 31st December 2007 (+0,8 billion euro) and to 30th June 2007 (+0,8 billion euro). The half year increase was attributable almost entirely to amounts due to customers, which performed even more strongly on an annual basis, while securities issued, which included EMTN issues (Euro Medium Term Notes), fell over twelve months (-674 million euro), but remained basically stable during the first half (see the half year directors’ report on the consolidated financial statements).

At the end of June 2008, loans to customers amounted to 9,2 billion euro, compared to 10,3 billion euro at the end of December and 8,5 billion euro in June 2007. The lending activity of UBI Banca is performed mainly with Group member companies and more specifically with those operating in the leasing and factoring sectors (3,8 billion euro to BPU Esaleasing, 3,6 billion euro to SBS Leasing and 1,2 billion euro to CBI Factor). The changes in the item are therefore the result of the funding requirements of those companies.

Interbank market

Changes A/B Changes A/C 30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro A B amount %C amount %

Loans to banks 27.526.361 19.708.390 7.817.971 39,7% 21.201.983 6.324.378 29,8% of which: - intragroup 26.224.637 18.048.920 8.175.717 45,3% 19.336.420 6.888.217 35,6% of which: intragroup securities 11.149.805 4.996.506 6.153.299 123,2% 4.104.143 7.045.662 171,7% Due to banks 26.641.509 20.505.577 6.135.932 29,9% 22.178.367 4.463.142 20,1% of which: intragroup 21.670.799 14.219.010 7.451.789 52,4% 12.183.717 9.487.082 77,9% of which: subordinated deposits (*) 1.247.666 1.260.634 -12.968 -1,0% 1.250.324 -2.658 -0,2% Net interbank position 884.852 -797.187 1.682.039 n.s. -976.384 1.861.236 n.s. of which: intragroup 4.553.838 3.829.910 723.928 18,9% 7.152.703 -2.598.865 -36,3%

The net interbank position at the end of the first half was positive by 0,9 billion euro (-0,8 billion euro at the end of 2007 and -1 billion euro twelve months previously). Both loans to banks (27,5 billion euro) and amounts due to banks (26,6 billion euro) recorded substantial increases both annually and in the first half attributable mainly to intragroup transactions. As part of its role as the centralised manager of Group liquidity, UBI Banca did in fact channel funding to network banks to support their lending to customers, part of which originated from disinvestments from financial assets.

Financial assets (asset items 20, 30, 40 and 50) totalled 6,7 billion euro (5,9 billion euro if calculated net of financial liabilities held for trading recognised within liability item 40), a decrease compared both to 7 billion euro at the end of 2007 and to 9,7 billion euro in June 2007.

181 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Financial assets/liabilities

30.6.2008 31.12.2007 Changes A/B 30.6.2007 Changes A/C A B C Figures in thousands of euro amount % amount %

Financial assets held for trading 2.017.122 2.753.772 -736.650 -26,8% 5.341.853 -3.324.731 -62,2% Financial assets at fair value 1.195.485 981.148 214.337 21,8% 1.889.981 -694.496 -36,7% Available-for-sale financial assets 2.132.791 2.060.909 71.882 3,5% 1.247.385 885.406 71,0% Held-to-maturity financial assets 1.391.788 1.244.574 147.214 11,8% 1.240.169 151.619 12,2% TOTAL FINANCIAL ASSETS 6.737.186 7.040.403 -303.217 -4,3% 9.719.388 -2.982.202 -30,7% Financial liabilities held for trading 831.400 842.341 -10.941 -1,3% 1.168.412 -337.012 -28,8% Total net of financial liabilities 5.905.786 6.198.062 -292.276 -4,7% 8.550.976 -2.645.190 -30,9%

While there was a modest reduction in the total stock in the first half of the year (-4,3%), the changes occurring in the securities portfolio, centralised at UBI Banca for the whole Group, were quite complex and to be interpreted in conjunction with Group liquidity management policies (the half year directors’ report on the consolidated financial statements may be consulted for details). The main movements that occurred in the first half are given below, while a full analysis is contained in the consolidated report: • financial assets held for trading, amounting to 2 billion euro, decreased compared to 2,8 billion euro in December 2007, mainly as a result of disinvestment from securities used as the underlying assets in repurchase agreements, which have been replaced by the use of intragroup securities. The portfolio was also affected by the change in progress in the composition of investments in hedge funds from held-for-trading to designated at fair value (within which new investments have been classified since 1st July 2007); • financial assets at fair value, amounted to 1,2 billion euro at the end of the first half compared to 981 million at the end of the year, the result of opposing trends related on the one hand to the reimbursement of capitalisation policies, on which the return is no longer in line with market yields, and on the other hand to the change in the composition of investments in hedge funds. In detail, capitalisation policies fell from 823 to 607 million euro following the natural or early reimbursement of some contracts for a nominal amount of 200 million euro, while hedge funds designated at fair value rose from 158 to 588 million euro, as a result of the partial replacement of hedge funds held for trading, which were sold. The total investment in hedge funds as at 30th June 2008 amounted to 748 million euro (721 million euro at the end of the year); • available-for-sale financial assets, inclusive of the interest held in Intesa Sanpaolo amounting to 505,3 million euro (756,5 million euro at the end of 2007), amounted to 2,1 billion euro with no significant change compared to the end of 2007. The item included new investments in securities eligible for refinancing with the European Central Bank, which more than compensated for the reduction in the fair value of the equity investments recognised within this item; • held-to-maturity financial assets rose on a half yearly basis from 1,2 to 1,4 billion euro, following purchases of Government securities.

182 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Separate condensed half year mandatory financial statements as at and for the period ended 30th June 2008

Balance sheet

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro

ASSETS

10. Cash and cash equivalents 89.797 66.812 53.231

20. Financial assets held for trading 2.017.122 2.753.772 5.341.853

30. Financial assets at fair value 1.195.485 981.148 1.889.981

40. Available-for-sale financial assets 2.132.791 2.060.909 1.247.385

50. Held-to-maturity financial assets 1.391.788 1.244.574 1.240.169

60. Loans to banks 27.526.361 19.708.390 21.201.983

70. Loans to customers 9.244.410 10.266.957 8.478.901

80. Hedging derivatives 25.396 48.975 28.508

100. Equity investments 11.709.110 11.606.918 7.737.377

110. Property, plant and equipment 659.019 678.205 683.078

120. Intangible assets 576.559 588.673 41.801 of which: - goodwill 569.058 569.694 8.600

125. Temporary merger difference - - 4.108.159

130. Tax assets 277.708 528.085 284.329 a) current 176.840 470.932 157.009 b) deferred 100.868 57.153 127.320 140. Non-current assets and disposal groups held for sale 13.687 43.866 5.770

150. Other assets 1.274.995 1.404.609 828.069

TOTAL ASSETS 58.134.228 51.981.893 53.170.594

The figures as at 30th June 2007 are different from those already published as a result of the standardisation of accounting policies made necessary following the merger which gave rise to UBI Banca. The mandatory financial statements as at 30th June 2007 and as at 31st December 2007 were also affected by the reclassification of repurchase and reverse repurchase agreements with an institutional counterparty from the item “Loans to/Due from banks” to the item “Loans to/due from customers”.

* The financial statements presented have not been subjected to a limited audit.

183 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Balance sheet

30.6.2008 31.12.2007 30.6.2007 Figures in thousands of euro

LIABILITIES AND SHAREHOLDERS’ EQUITY

10. Due to banks 26.641.509 20.505.577 22.178.367

20. Due to customers 3.788.211 2.872.466 2.271.058

30. Securities issued 14.567.300 14.657.253 15.232.656

40. Financial liabilities held for trading 831.400 842.341 1.168.438

60. Hedging derivatives 70.276 54.001 68.800

80. Tax liabilities 349.267 606.326 295.508 a) current 224.447 458.290 205.826 b) deferred 124.820 148.036 89.682

100. Other liabilities 1.056.770 1.421.759 866.743

110. Staff severance provisions 44.197 51.037 54.136

120. Provisions for liabilities and charges: 16.045 8.993 55.832 b) other provisions 16.045 8.993 55.832

130. Valuation reserves (260.719) 24.456 43.263

160. Reserves 1.623.232 1.411.660 1.408.513

170. Share premiums 7.100.378 7.100.378 7.100.378

180. Share capital 1.597.865 1.597.865 1.597.865

200. Profit (loss) for the period (+/-) 708.497 827.781 829.037

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 58.134.228 51.981.893 53.170.594

The figures as at 30th June 2007 are different from those already published as a result of the standardisation of accounting policies made necessary following the merger which gave rise to UBI Banca. The mandatory financial statements as at 30th June 2007 and as at 31st December 2007 were also affected by the reclassification of repurchase and reverse repurchase agreements with an institutional counterparty from the item “Loans to/Due from banks” to the item “Loans to/due from customers”.

The figures as at 30th June 2007 and as at 31st December 2007 contain results for the period that do not include the contribution from the former Banca Lombarda e Piemontese for the first quarter.

184 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Income statement

2nd Quarter 2nd Quarter 30.6.2008 30.6.2007 31.12.2007 Figures in thousands of euro 2008 2007

10. Interest and similar income 836.620 514.164 1.242.693 430.609 320.179

20. Interest expense and similar (949.442) (593.339) (1.426.879) (492.829) (367.361)

30. Net interest income (112.822) (79.175) (184.186) (62.220) (47.182)

40. Commission income 18.958 17.428 41.966 8.825 10.140

50. Commission expense (12.209) (10.695) (24.126) (6.612) (6.413)

60. Net commission income 6.749 6.733 17.840 2.213 3.727

70. Dividends and similar income 901.919 970.636 972.115 870.280 942.922

80. Net profit (loss) from trading (34.857) 25.563 23.706 568 21.756

90. Net profit (loss) from hedging activity 4.733 614 1.514 1.390 560

100. Net profit (loss) from sale or the repurchase of: 7.131 3.470 24.119 7.126 2.189 a) loans 1 - - 1 - b) available-for-sale financial assets 7.069 3.506 23.989 7.069 2.184 d) financial liabilities 61 (36) 130 56 5

110. Net profit (loss) on financial assets/liabilities held at fair value (1.620) - 1.549 5.073 -

120. Gross income 771.233 927.841 856.657 824.430 923.972

130. Net impairment losses on: (25) 5 (7.135) (113) (8) a) loans 160 26 (1.208) 46 3 b) available-for-sale financial assets (52) (3) (43) (3) - d) other financial transactions (133) (18) (5.884) (156) (11)

140. Net financial operating income 771.208 927.846 849.522 824.317 923.964

150. Administrative expenses (178.662) (247.171) (476.334) (90.963) (157.071) a) staff costs (88.247) (157.463) (268.712) (44.374) (103.362) b) other administrative expenses (90.415) (89.708) (207.622) (46.589) (53.709)

160. Net provisions for liabilities and charges (1.376) (1.364) (3.732) 945 (686)

170. Net impairment losses on property, plant and equipment (20.487) (36.166) (59.288) (10.171) (25.426)

180. Net impairment losses on intangible assets (11.617) (25.481) (35.697) (5.885) (19.459)

190. Other operating income / (expense) 96.310 163.395 297.561 45.793 85.251

200. Operating costs (115.832) (146.787) (277.490) (60.281) (117.391)

210. Profits (losses) of equity investments 18.367 (139) (279) (5.118) (139)

240. Profits (losses) on disposal of investments (16) 21 256 (39) 9

250. Profit (loss) on continuing operations before tax 673.727 780.941 572.009 758.879 806.443

260. Taxes on income for the period for continuing operations 34.770 48.096 255.850 5.539 30.593

270. Profit after tax on continuing operations 708.497 829.037 827.859 764.418 837.036

280. Profit (loss) after tax from discontinued operations - - (78) - -

290. Profit for the period 708.497 829.037 827.781 764.418 837.036

The income statement to 30th June 2007 does not incorporate the effects of the Purchase Price Allocation.

The figures to 30th June 2007 and to 31st December 2007 do not include the items for the former Banca Lombarda e Piemontese for the first quarter.

185 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Statement of changes in shareholders’ equity for the period ended 30th June 2008

Allocation of Changes January - June 2008

Changes in previous year profit Transactions affecting equity Shareholders’ Balances as at Balances as at opening equity as at 31.12.2005 1.1.2008 balances Dividends Extraordinary Change in Derivatives 30.6.2008 Changes in New share Purchase of Profit (loss) Reserves and other distribution capital on own Stock options reserves issues own shares for the period uses of dividends instruments shares Figures in thousands of euro

Share capital: 1,597,865 1,597,865 - - - 1,597,865

a) ordinary shares 1,597,865 1,597,865 - - - 1,597,865

b) other shares ------

Share premiums 7,100,378 7,100,378 - - 7,100,378

Reserves 1,411,660 - 1,411,660 211,308 264 - - - - - 1,623,232

a) of profits 1,179,772 - 1,179,772 211,308 - - - 1,391,080

b) other 231,888 - 231,888 - 264 - - - - 232,152

Valuation reserves: 24,456 - 24,456 -285,175 - -260,719

a) available-for-sale financial assets -5,502 - -5,502 -286,131 - -291,633

b) cash flow hedging ------

c) exchange rate differences -243 - -243 - - -243

d) special revaluation laws 29,297 - 29,297 - - 29,297

e) other 904 - 904 956 - 1,860

Capital instruments - - - - -

Own shares: ------

a) of the Parent Bank ------

b) of subsidiaries ------

Profit (loss) for the period 827,781 - 827,781 -211,308 -616,473 708,497 708,497

Shareholders’ equity 10,962,140 - 10,962,140 - -616,473 -284,911 ------708,497 10,769,253

186 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Statement of changes in shareholders’ equity for the period ended 30th June 2007

Changes January - June 2007 Allocation of Changes in Transactions affecting equity Shareholders’ Balances as at opening previous year profit equity as at 31.12.2006 Balances as at balances Dividends Extraordinary Change in Derivatives 30.6.2007 1.1.2007 Changes in New share Purchase of Profit (loss) Reserves and other distribution capital on own Stock options reserves issues own shares for the period uses of dividends instruments shares Figures in thousands of euro

Share capital: 861,207 861,207 - 736,658 - 1,597,865

a) ordinary shares 861,207 861,207 - 736,658 - 1,597,865

b) other shares ------

Share premiums 1,545,611 1,545,611 - -235,365 5,790,132 7,100,378

Reserves 1,206,999 - 1,206,999 206,699 -904 -4,281 - - - - - 1,408,513

a) of profits 965,994 - 965,994 206,699 -904 - - - - 1,171,789

b) other 241,005 - 241,005 - -4,281 - - - - 236,724

Valuation reserves: 51,040 - 51,040 -7,777 - 43,263

a) available-for-sale financial assets 26,707 - 26,707 -13,534 - 13,173

b) cash flow hedging ------

c) exchange rate differences -243 - -243 - - -243

d) special revaluation laws 29,297 - 29,297 - - 29,297

e) other -4,721 - -4,721 5,757 - 1,036

Capital instruments - - -- -

Own shares: ------

a) of the parent bank ------

b) of subsidiaries ------

Profit (loss) for the period 496,987 - 496,987 -206,699 -290,288 829,037 829,037

Shareholders’ equity 4,161,844 - 4,161,844 - -526,557 -12,058 6,526,790 - - - - - 829,037 10,979,056

187 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Statement of cash flows (indirect method)

30.6.2008 30.6.2007 Figures in thousands of euro

A. OPERATING ACTIVITIES 1. Ordinary activities -33,905 -18,220 - net profit for the year (+/-) 708,497 829,037

- gains/losses on financial assets held for trading and on financial assets/liabilities at fair value (+/-) 37,527 -43,766

- gains/losses on hedging activities (-/+) -4,733 -614 - net impairment losses on loans (+/-) 25 -5

- net impairment losses on property, plant and equipment and intangible fixed assets (+/-) 32,104 61,647 - net provisions for liabilities and charges and other expense/income (+/-) 7,007 42,725 - outstanding taxes and duties 222,252 205,625 - other adjustments (+/-) -1,036,584 -1,112,869 2. Liquidity generated/absorbed by financial assets -6,695,070 -5,302,195 - financial assets held for trading 711,592 -918,893 - financial assets at fair value -214,338 1,417,126 - available-for-sale financial assets -393,357 15,711 - loans to banks -7,605,639 -4,551,418 - loans to customers 806,672 -1,264,721 3. Liquidity generated/absorbed by financial liabilities 6,773,410 4,979,171 - due to banks 5,667,579 2,525,909 - due to customers 1,384,098 626,893 - securities issued -61,612 1,665,110 - financial liabilities held for trading -11,590 258,719 - other liabilities -205,065 -97,460 Net liquidity generated/absorbed by operating activities 44,435 -341,244

B. INVESTING ACTIVITIES 1. Liquidity generated by 878,291 1,033,654 - disposals of equity investments 40,417 - - dividends received on equity investments 837,679 960,600 - disposals of held-to-maturity financial assets - 73,013 - disposals of property, plant and equipment 195 41 - disposals of intangible assets - - 2. Liquidity absorbed by -283,268 -161,577 - purchases of equity investments -122,086 -71,291 - purchases of held-to-maturity financial assets -159,546 -65,552 - purchases of property, plant and equipment -1,496 -7,212 - purchases of intangible assets -140 -8,922 - purchases of lines of business - -8,600 Net liquidity generated/absorbed by investing activities 595,023 872,077

C. FUNDING ACTIVITIES - issues/purchases of own shares - - - distribution of dividends and other uses -616,473 -526,557 Net liquidity generated/absorbed by funding activities -616,473 -526,557

NET LIQUIDITY GENERATED/ABSORBED DURING THE PERIOD 22,985 4,276

Key: (+) generated (-) absorbed

188 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Reconciliation

Figures in thousands of euro 30.6.2008 30.6.2007

Cash and cash equivalents at beginning of period 66,812 69 Inflow of cash and cash equivalents as at 1.4.2007 following the merger - 48,886 Total liquidity generated/absorbed 22,985 4,276 Cash and cash equivalents at the end of the period 89,797 53,231

189 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f List of significant equity investments held in unlisted companies as at 30th June 2008 (In compliance with Art. 120 of Legislative Decree No. 58 of 24th February 1998 and Art. 126 of CONSOB Resolution No. 11971 of 14th May 1999)

Total number of Number of Equity investment Registered address %% voting rights shares / quotas shares owned Data on equity investment Data on investment

Investor Ownership title Nominal value per Direct equity investments share/quota

Unione di Banche Italiane Scpa InvestmentArca SGR Spa Milan 50.000.000 Euro 1,00 11.562.000 23,124 Banca Popolare di Ancona Spa Investment Arca SGR Spa 50.000.000 Euro 1,00 1.792.000 3,584 26,708 26,708 Unione di Banche Italiane Scpa Investment Aviva Vita Spa Milan 65.000.000 Euro 1,00 32.500.000 50,000 50,000 Unione di Banche Italiane Scpa Investment B@nca 24-7 Spa Bergamo 264.300.000 Euro 1,00 264.300.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Banca Carime Spa Cosenza 1.411.738.948 Euro 1,04 1.211.675.182 85,829 85,829

Unione di Banche Italiane Scpa Investment Banca di Valle Camonica Spa Breno (BS) 2.738.693 Euro 1,00 2.033.313 74,244 Banco di Brescia Spa Investment Banca di Valle Camonica Spa 2.738.693 Euro 1,00 238.693 8,716 82,960 82,960 Unione di Banche Italiane Scpa Investment Banca Lombarda Preferred Capital Co. Llc Delaware (USA) 1 Euro 1.000,00 1 100,000 100,000 Unione di Banche Italiane Scpa Investment Banca Lombarda Preferred Securit y Trust Delaware (USA) 1 Euro 1.000,00 1 100,000 100,000 Unione di Banche Italiane Scpa Investment Banca Popolare Commercio e Industria Spa Milan 650.000.000 Euro 1,05 541.846.707 83,361 83,361 Unione di Banche Italiane Scpa Investment Banca Popolare Commercio e Industria Funding Llc Delaware (USA) 1.000 Euro 1.000,00 1.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Banca Popolare di Ancona Spa Jesi (AN) 24.468.716 Euro 5,00 24.281.712 99,236 99,236 Unione di Banche Italiane Scpa Investment Banca Popolare di Ber gamo Spa Bergamo 1.256.300.000 Euro 1,00 1.256.300.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Banca Popolare di Bergamo Funding Llc Delaware (USA) 1.000 Euro 1.000,00 1.000 100,000 100,000

Unione di Banche Italiane Scpa Investment Banca Re gionale Europea Spa(azioni ord.) Cuneo 735.098.007 Euro 0,52 407.816.746 55,478 55,478 Banca Re gionale Europea Spa(azioni priv.) 68.591.443 Euro 0,52 18.118.254 26,415 Banca Regionale Europea Spa (azioni ord. e priv.) 803.689.450 Euro 0,52 425.935.000 52,997 Banca Re gionale Europea Spa(azioni risp.) 46.310.550 Euro 0,52 27.379.026 59,120

Unione di Banche Italiane Scpa Investment Banco di Brescia San Paolo CAB Spa Brescia 872.500.000 Euro 0,68 872.500.000 100,000 100,000

Unione di Banche Italiane Scpa Investment Banco di San Gior gio Spa Genoa 44.617.778 Euro 1,50 15.515.134 34,773 Banca Regionale Europea Spa Investment Banco di San Giorgio Spa 44.617.778 Euro 1,50 25.134.237 56,332 91,106 91,106

Unione di Banche Italiane Scpa Investment Banque de Depots et de Gestion Sa Lausanne (Switzerland) 40.000 Chf 250,00 40.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Barberini Sa Brussels (Belgium) 3.000.000 Euro 1,00 1.000.000 33,333 33,333 Unione di Banche Italiane Scpa Investment BPB Immobiliare Srl Bergamo 185.680.000 Euro 1,00 185.680.000 100,000 100,000

Unione di Banche Italiane Scpa Investment BPU Esaleasin g Spa Bergamo 89.427.991 Euro 1,00 55.200.480 61,726 100,000 Banca Popolare di Ancona Spa Investment BPU Esaleasing Spa 89.427.991 Euro 1,00 34.227.511 38,274 100,000

190 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Continued

Total number of Number of Equity investment Registered address %% voting rights shares / quotas shares owned

Unione di Banche Italiane Scpa Investment BY YOU Spa Milan 650.000 Euro 1,00 260.000 40,000 40,000 Data on equity investment Data on investment Unione di Banche Italiane Scpa Investment Capital gest Spa Brescia 2.540.673 Euro 6,00 2.540.673 100,000 100,000 Investor Ownership title Unione di Banche Italiane Scpa Investment Capital Money Spa Milan 1.200.000Nominal Euro value per 1,00 240.000 20,000 20,000 share/quota Unione di Banche Italiane Scpa Investment CBI Factor - Compagnia di Banche Italiane per il Factoring Spa Milan 69.453.500 Euro 0,52 69.453.500 100,000 100,000

Unione di Banche Italiane Scpa Investment Centrobanca Spa Milan 336.000.000 Euro 1,10 310.300.984 92,352 Banca Popolare di Ancona Spa Investment Centrobanca Spa 336.000.000 Euro 1,10 18.383.132 5,471 97,823

Unione di Banche Italiane Scpa Investment Centrosim Spa Milan 333.334 Euro 60,00 29.880 8,964 Banca Popolare di Ancona Spa Investment Centrosim Spa 333.334 Euro 60,00 8.000 2,400 97,823 Centrobanca Spa Investment Centrosim Spa 333.334 Euro 60,00 3.526 1,058 12,422

Unione di Banche Italiane Scpa Investment CFE Corporation Financiere Europeenne Sa Luxembourg 1.300.000 Euro 1,00 828.750 63,750 63,750 12,422

Unione di Banche Italiane Scpa Investment Financiera Veneta, E.F.C., Sa Madrid (Spain) 85.000 Euro 60,10 51.850 61,000 Compagnia di Banche Italiane per il Factoring Spa Investment Financiera Veneta, E.F.C. Sa 85.000 Euro 60,10 33.150 39,000 100,000

Unione di Banche Italiane Scpa Investment FinanzAttiva Servizi Srl Bergamo 5.660.000 Euro 1,00 5.660.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Lombarda China Fund Mana 100,000

gement Company Shenzen (China) 12.000 CNY 10.000,00 5.880 49,000 49,000 Unione di Banche Italiane Scpa Investment Lombarda Vita Spa Brescia 37.060.000 Euro 5,00 18.492.940 49,900 49,900 Unione di Banche Italiane Scpa Investment Manisa Srl Milan 100.000 Euro 1,00 28.658 28,658 28,658 Unione di Banche Italiane Scpa Investment Medinvest International Sca Luxembourg 7.663.600 Euro 10,00 1.500.000 19,573 19,573 Unione di Banche Italiane Scpa Investment Mercato Impresa Spa Milan 3.500.000 Euro 1,00 3.449.495 98,557 98,557 Unione di Banche Italiane Scpa Investment Plurifid Spa Turin 390.000 Euro 1,00 390.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Prisma Srl Milan 120.000 Euro 1,00 24.000 20,000 20,000 Unione di Banche Italiane Scpa Investment Q-Channel Spa (in liquidazione) Rome 1.607.141 Euro 1,00 241.071 15,000 15,000 Unione di Banche Italiane Scpa Investment S.A.C.B.O. - Società per l'Aeroporto Civile di Ber gamo - Orio al Serio Spa Orio al Serio (BG) 3.543.750 Euro 4,80 356.131 10,050 10,050 Unione di Banche Italiane Scpa Investment SBS Leasin g Spa Brescia 16.500.000 Euro 6,00 16.170.000 98,000 98,000

Unione di Banche Italiane Scpa Investment Secur Broker Srl Bergamo 90.000 Euro 0,52 9.000 10,000 UBI Insurance Broker Srl Investment Secur Broker Srl 90.000 Euro 0,52 27.000 30,000 40,000 40,000

Unione di Banche Italiane Scpa Investment SF Consultin g Srl Bergamo 180.000 Euro 0,52 63.000 35,000 35,000

Unione di Banche Italiane Scpa Investment Silf - Società Italiana Leasing e Finanziamenti Spa Cuneo 2.000.000 Euro 1,00 2.000.000 100,000 100,000

Unione di Banche Italiane Scpa Investment Società Bresciana Immobiliare Mobiliare - S.B.I.M. Spa Brescia 35.000.000 Euro 1,00 35.000.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Società per la Gesione del Palazzo Centro Con gressi Srl Assago (MI) 10.200 Euro 1,00 1.763 17,284 17,284 Unione di Banche Italiane Scpa Investment Società per i Mercati di Varese Spa Malnate (VA) 2.711.606 Euro 1,50 399.240 14,723 14,723 Unione di Banche Italiane Scpa Investment Società Lombarda Immobiliare Spa - SOLIMM Brescia 500.000 Euro 5,16 500.000 100,000 100,000 Unione di Banche Italiane Scpa Investment Solofid Spa - Società Lombarda Fiduciaria Spa Brescia 2.900.000 Euro 0,52 2.900.000 100,000 100,000

Unione di Banche Italiane Scpa Investment UBI Banca International Sa Luxembourg 84.838 Euro 510,00 81.668 96,263 Banco di Brescia Spa Investment UBI Banca International Sa 84.838 Euro 510,00 2.970 3,501 100,000 Banco di San Giorgio Spa Investment UBI Banca International Sa 84.838 Euro 510,00 200 0,236 100,000

191 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f continued

Total number of Number of Equity investment Registered address %% voting rights shares / quotas shares owned

Unione di Banche Italiane Scpa Investment UBI Banca Private Investment Spa Data on equity investmentBrescia 22.650.000 Euro 3,00 22.650.000Data on investment 100,000 100,000

Unione di Banche Italiane ScpaInvestor OwnershipInvestment title UBI CentroS Nominal value per ystem Spa Milan 651.660 Euroshare/quota 10,00 651.660 100,000 100,000 Unione di Banche Italiane Scpa Investment UBI Finance Srl Milan 10.000 Euro 1,00 6.000 60,000 60,000 Unione di Banche Italiane Scpa Investment UBI Insurance Broker Srl Bergamo 1 Euro 3.760.000,00 1 100,000 100,000

Unione di Banche Italiane Scpa Investment UBI Partecipazioni Assicurative Spa Milan 208.100.000 Euro 0,51 176.885.000 85,000 Banca Popolare di Ancona Spa Investment UBI Partecipazioni Assicurative Spa 208.100.000 Euro 0,51 31.215.000 15,000 100,000

Unione di Banche Italiane Scpa Investment UBI Pramerica SGR Spa Bergamo 3.991.093 Euro 5,00 1.360.146 34,080 Capitalgest Spa Investment UBI Pramerica SGR Spa 3.991.093 Euro 5,00 1.234.064 30,920 100,000 65,000

Unione di Banche Italiane Scpa Investment UBI Sistemi e Servizi Spa Brescia 50.000.000 Euro 0,52 34.000.000 68,000 Banca Popolare di Bergamo Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 2.000.000 4,000 65,000 Banca Popolare di Ancona Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 2.000.000 4,000 Banca Carime Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 2.000.000 4,000 Banca Popolare Commercio e Industria Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 2.000.000 4,000 Banco di Brescia Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 2.000.000 4,000 100,000 Banca Regionale Europea Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 2.000.000 4,000 Banco di San Giorgio Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 1.000.000 2,000 UBI Banca Private Investment Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 1.000.000 2,000 Banca di Valle Camonica Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 1.000.000 2,000 Compagnia di Banche Italiane per il Factoring Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 500.000 1,000 Centrobanca Spa Investment UBI Sistemi e Servizi Spa 50.000.000 Euro 0,52 500.000 1,000 100,000

Unione di Banche Italiane Scpa Investment Unione Fiduciaria Spa Milan 1.080.000 Euro 5,50 113.411 10,501 10,501 Unione di Banche Italiane Scpa Investment

Ver Capital SGRpa Milan 1.500.000 Euro 1,00 240.000 16,000 16,000

Partecipazioni Indirette

Banca Carime Spa InvestmentAlto Tirreno Cosentino Società Consortile p.A. San Nicola Arcella (CS) 247.000 Euro 1,00 49.365 19,986 19,986 Banca Carime Spa Investment Fincalabra Spa Catanzaro 68.688 Euro 345,74 7.891 11,488 11,488 Banca Carime Spa Investment Patto Verde Società Consortile Mista a R.L. Foggia 200 Euro 90,00 30 15,000 15,000 Banca Carime Spa Investment PROMEM Sud-Est - Società per la promozione dei mercati mobiliari Sud-Est Spa Bari 1.620 Euro 371,15 260 16,049 16,049 Banca Carime Spa Investment Protekos Spa Cosenza 100.000 Euro 5,16 15.000 15,000 15,000 Banca Carime Spa Investment Revisud Spa (in liquidazione) Bari 28.700 Euro 5,16 6.601 23,000 23,000 Banca Carime Spa Investment Società Aeroportuale Calabrese (S.A.CAL.) Spa Lamezia Terme (CZ) 15.000 Euro 517,00 1.533 10,220 10,220

Banca di Valle Camonica Spa Pledge Geva Srl Brescia 100.000 Euro 1,00 49.000 49,000 49,000 Banca di Valle Camonica Spa Pledge LPN Srl Brescia 100.000 Euro 1,00 49.000 49,000 49,000

192 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f continued

Total number of Number of Equity investment Registered address %% voting rights shares / quotas shares owned

Banca Popolare Comm Industria Spa Pledge Acta Spa Milan 5.000.000 Euro 1,00 4.000.000 80,000 80,000 Data on equity investment Data on investment Banca Popolare Comm Industria Spa Pledge Albertini Cesare Spa Milan 1.000.000 Euro 1,00 960.000 96,000 96,000 Banca Popolare Comm IndustriaInvestor Spa OwnershipPledge title ATI - Arte Tipolitografica Italiana Spa Pomezia (Rome) 10.000 EuroNominal value 11,00per 10.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Diffusioni Grafiche Spa Villanova Monferrato (AL) 400.000 Euroshare/quota 5,00 400.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Elle.Elle Srl Milan 11.000 Euro 1,00 11.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge F.lli Orseni go Srl Cantù (CO) 46.800 Euro 1,00 46.800 100,000 100,000 Banca Popolare Comm Industria Spa Pledge FontanaArte Spa Corsico (MI) 2.670.000 Euro 1,00 2.670.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Gnutti Cirillo Spa Lumezzane (BS) 49.916.914 Euro 0,52 8.760.000 17,549 17,549 Banca Popolare Comm Industria Spa Pledge Nord Milano Spa Lainate (MI) 120.000 Euro 1,00 90.000 75,000 75,000 Banca Popolare Comm Industria Spa Pledge O & Co Srl Carate Brianza (MI) 51.000 Euro 1,00 51.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Partecipazioni Immobiliari Srl Stradella (PV) 10.000 Euro 1,00 10.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Porto di Lava gna Spa Milan 5.100.000 Euro 1,00 5.100.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Serim Spa Milan 15.000.000 Euro 1,00 3.750.000 25,000 25,000 Banca Popolare Comm Industria Spa Pledge Società Esercizi Manzoni - S.E.M. - Srl Milan 16.000 Euro 1,00 16.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Sviluppo Immobiliare Srl Stradella (PV) 70.000 Euro 1,00 70.000 100,000 100,000 Banca Popolare Comm Industria Spa Pledge Winfin Spa Lumezzane (BS) 7.000.000 Euro 1,00 3.143.000 44,900 44,900 Banca Popolare di Ancona Spa Investment Centro Polifunzionale del Piano - Ancona Società Cooperativa Consortile Ancona 456 Euro 140,52 400 87,719 2,857 Banca Popolare di Ancona Spa Investment Escomarche Srl Ancona 30.000 Euro 1,00 4.500 15,000 15,000 Banca Popolare di Ancona Spa Investment Farmafin Centro Italia Scarl Perugia 55.980 Euro 25,00 8.000 14,291 14,291 Banca Popolare di Ancona Spa Investment Immobiliare Camino Srl Fabriano (AN) 192.308 Euro 1,00 30.769 16,000 16,000 Banca Popolare di Ancona Spa Pledge Immobiltec Srl Vasto (CH) 20.235 Euro 0,51 20.000 98,839 98,839 Banca Popolare di Ancona Spa Pledge Interleasin g Spa Sant'Elpidio a Mare (AP) 1.015 Euro 1.000,00 1.015 100,000 100,000 Banca Popolare di Ancona Spa Pledge Numanablu Spa Numana (AN) 60 Euro 20.000,00 18 30,000 30,000 Banca Popolare di Ancona Spa Investment Società Regionale di Garanzia Marche Scpa Ancona 124.396 Euro 25,82 20.001 16,078 0,074 Banca Popolare di Ancona Spa Investment SPF Studio Progetti Finanziari Srl Rome 92.960 Euro 1,00 23.240 25,000 25,000 Banca Popolare di Ancona Spa Investment S ynbiotec Srl Camerino (MC) 50.000 Euro 1,00 7.500 15,000 15,000

Banca Popolare di Bergamo Spa Pledge Immobiliare Vis Spa Bergamo 330.000 Euro 3,00 82.777 25,084 25,084 Banca Popolare di Bergamo Spa Pledge Stamperia Pozzi Spa Gallarate (VA) 1.000.000 Euro 0,46 490.000 49,000 49,000

Banca Regionale Europea Spa Investment GE.SE.RI. - Gestione Servizi di Riscossione Spa (in liquidazione) Cuneo 323.520 Euro 1,00 307.344 95,000 95,000 Banca Regionale Europea Spa Investment Giarolo Leader Srl San Sebastiano Curone (AL) 70.000 Euro 1,00 14.999 21,427 21,427 Banca Regionale Europea Spa Investment P.S.T. - Parco Scientifico, Tecnologico e delle Telecomunicazioni in Vallescrivia Spa Tortona (AL) 18.580 Euro 160,49 3.150 16,954 16,954

Banco di Brescia Spa Pledge Archè Spa Milan 5.200.000 Euro 1,00 1.300.000 25,000 25,000 Banco di Brescia Spa Investment Biodiversity Spa Brescia 715.000 Euro 1,00 215.000 30,070 30,070 Banco di Brescia Spa Pledge Due A Srl Rome 2.000 Euro 100,00 2.000 100,000 100,000 Banco di Brescia Spa Investment Leasemac Spa (in liquidazione) Milan 500 Euro 516,46 166 33,200 33,200 Banque de Depots et de Gestion Sa Investment BDG Sin gapore PTE Ltd Singapore 25.000 Sgd 1,00 25.000 100,000 100,000 Banque de Depots et de Gestion Sa Investment Gestioni Lombarda (Suisse) Sa Lugano (Switzerland) 1.000 Chf 1.000,00 1.000 100,000 100,000 Banque de Depots et de Gestion Sa Investment Sofipo Fiduciaire Sa Lugano (Switzerland) 2.000 Chf 1.000,00 600 30,000 30,000 Banque de Depots et de Gestion Sa Investment Sofipo Austria Gmbh Vienna (Austria) 1.000.000 Euro 1,00 150.000 15,000 15,000

BPB Funding Llc Investment Banca Popolare di Ber gamo Capital Trust Delaware (USA) 1 Euro 1.000,00 1 100,000 100,000

BPCI Funding Llc Investment Banca Popolare Commercio e Industria Capital Trust Delaware (USA) 1 Euro 1.000,00 1 100,000 100,000

BPU Esaleasing Spa Investment I.C.L. - Iniziative Commerciali Lombarde Società Consortile a R.L. Varese 80.000 Euro 0,51 9.016 11,270 0,000

193 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f continued

Total number of Number of Equity investment Registered address %% voting rights shares / quotas shares owned

Centrobanca Spa Investment AFH Spa Data on equity investment Osimo (AN) 2.000.000 Euro 1,00 380.000Data on investment 19,000 19,000 Centrobanca Spa Investment Car Testing Sa Luxembourg 695.000 Euro 10,00 223.584 32,170 32,170 Investor Ownership title Centrobanca Spa Investment Centrobanca Sviluppo Impresag Sr Spa Milan 20.000 EuroNominal value 100,00 per 20.000 100,000 100,000 share/quota Centrobanca Spa Investment Frittelli Maritime Group Spa Ancona 2.550.000 Euro 1,00 287.324 11,268 11,268 Centrobanca Spa Investment GROUP - Gruppo Operazioni Underwriting Banche Popolari Srl Milan 80.000 Euro 1,00 18.000 22,500 22,500

Centrobanca Spa Investment Immobiliare Mirasole Spa (azioni ord.) Milan 41.413.752 Euro 1,00 14.880.098 35,930 35,930 Immobiliare Mirasole Spa (azioni priv.) 11.366.637 Euro 1,00 8.335.534 73,333 Immobiliare Mirasole Spa (azioni ordinarie e priv.) 52.780.389 Euro 1,00 23.215.632 43,985

Centrobanca Spa Investment Imprenditori Associati Spa (in liquidazione) Milan 1.516.000 Euro 1,00 163.387 10,778 10,778 Centrobanca Spa Investment Maxicubo Self Stora ge Srl Bergamo 100.000 Euro 1,00 17.500 17,500 17,500 Centrobanca Spa Investment Partecipazioni in Imprese Srl( in liquidazione) Milan 69.648 Euro 1,00 7.222 10,369 10,369 Centrobanca Spa Pledge Corral 3000 Srl Milan 10.000 Euro 1,00 10.000 100,000 100,000 Centrobanca Spa Investment Strai ght to Video Srl Napoli 119.500 Euro 1,00 33.460 28,000 28,000 Centrobanca Spa (1) Pensotti Fabbrica Caldaie Legnano SpA Legnano (MI) 4.657.895 Euro 1,00 1.769.750 37,995 37,995

Compagnia di Banche Italiane per il Factoring Spa Investment Siderfactor Spa Milan 12.000 Euro 100,00 3.240 27,000 27,000 Compagnia di Banche Italiane per il Factoring Spa Investment Tex Factor Spa Milan 20.000 Euro 51,65 4.000 20,000 20,000

Mercato Impresa Spa Investment Coralis Rent Srl Milan 1 Euro 400.000,00 1 100,000 100,000 Mercato Impresa Spa Investment Coralis Travel Srl Milan 110.000 Euro 1,00 110.000 100,000 100,000

SBS Leasing Spa Investment HRS - Help Rental Service Srl (in liquidazione) Rome 200.000 Euro 1,00 48.000 24,000 24,000

Solofid Spa - Società Lombarda Fiduciaria Investment SIFRU Gestioni Fiduciarie Sim Spa Brescia 2.000.000 Euro 0,52 2.000.000 100,000 100,000

UBI Banca Private Investment Spa Investment UBI Management Company Sa Luxembourg 12.500 Euro 10,00 12.375 99,000 UBI>< Banca International Sa Investment UBI Mana gement Company Sa 12.500 Euro 10,00 125 1,000 100,000 100,000

UBI>< Banca International Sa Investment UBI Trust Compan y Ltd Jersey (Channel Islands) 50.000 GBP 1,00 49.999 99,998 99,998

UBI Partecipazioni Assicurative Spa Investment UBI Assicurazioni Spa Milan 63.100.000 Euro 0,52 63.100.000 100,000 100,000 UBI Partecipazioni Assicurative Spa Investment UBI Assicurazioni Vita Spa Milan 95.618.800 Euro 0,52 47.809.399 49,999 49,999

UBI Pramerica Sgr Spa Investment Capital gest Alternative Investmentsg rS Spa Brescia 1.500 Euro 1.000,00 1.500 100,000 100,000 UBI Pramerica Sgr Spa Investment UBI Pramerica Alternative Investments SGR Spa Bergamo 1.000.000 Euro 5,00 927.500 92,750 92,750

Iw Bank Spa (2) Investment InvestNet International S.A. Luxembourg 1.095.693 Euro 5,00 1.095.693 100,000 100,000 Investnet International S.A. Investment InvestNet Italia Spa Milan 4.240 Euro 50,00 4.240 100,000 100,000 Investment InvestNet Holdin g N.V. Amsterdam (Holland) 342.301 Euro 5,00 342.301 100,000 100,000 Investnet Italia S.p.A. Investment InvestNet Work Iberica Spa Milan 10.000 Euro 100,00 10.000 100,000 100,000

(1) It is recognised within "loans to customers" in the financial statements (2) A listed company with 51,23% held by the UBI Banca Group * Key: A = Control by ownership E = Not controlled

194 UBI Banca WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

DE JURE AND DELEGATED POWERS OF THE CORPORATE BODIES (Consob recommendation No. 97001574 of 20th February 1997)

UBI Banca Group

195 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f In compliance with recommendation No. 97001574 issued by the Italian securities market authority (CONSOB) on 20th February 1997, the de jure and delegated powers of the corporate bodies and General Management of Unione di Banche Italiane Scpa. are set out below.

Supervisory Board

The Supervisory Board is composed of 23 members appointed by a Shareholders' Meeting chosen from among those registered shareholders possessing the necessary qualities, namely integrity, professionalism and independence as required by the legislation in force. At least 15 of the members of the Supervisory Board must be in possession of the requirements of professionalism required by the legislation currently in force for persons who perform functions as directors of banks. In particular, at least three members of the Supervisory Board must be chosen from among persons enrolled in the Registro dei Revisori Contabili (register of auditors) who have practiced as legal certifiers of accounts for a period of not less than three years. They remain in office for three financial years. The Supervisory Board meets, upon notice by the Chairman, at least every 60 days; the meetings take place alternating between the city of Bergamo and the city of Brescia and once a year in the city of Milan. The meetings are considered as being validly held (i.e. a quorum is present) if the meetings are attended by the majority of the Board Members in office. The Board passes resolutions where the absolute majority of the members attending the meeting (resolution quorum) casts a favourable vote, except for those cases where the by-laws prescribe higher quorums. In addition to matters reserved to it by Law, the corporate by-laws reserve to the Supervisory Board, on proposal of the Management board, the power to decide the general strategic policies and programmes of the Company and of the Group and to grant authorisations for business and/or financial plans and the budgets of the Company and of the Group prepared by the Management Board, as well as authorisations for strategic operations, while the latter, nevertheless, takes responsibility for the actions it takes. In addition, the Supervisory Board has the power to decide authorisations for the following: i) proposals for transactions on the share capital, issuing convertible and cum warrant bonds in the Company’s shares, mergers and demergers; ii) proposals for amendments to by-laws; iii) purchases or disposals by the Bank and by its subsidiaries of controlling interests in companies with important strategic value or with greater than a predetermined value, as well as the purchase or sale of undertakings, business en-bloc, lines of business with an important operational and/or strategic value; iv) strategically important investments and/or divestments and/or involving commitments for the Bank where the overall amount exceeds a predetermined amount for each transaction; v) signing commercial, co-operation or shareholders’ agreements of strategic importance, without prejudice to the fact that the authorisation of the Supervisory Board on the operations indicated in the above-mentioned list shall not be necessary if they are operations specifically contemplated in the business plans already approved by the Supervisory Board. Further powers of the Supervisory Board include the power to determine the following: a) policies relating to cultural and charitable initiatives as well as to the image of the Bank and the Group, with a special reference to the enhancement of the historical and artistic heritage, verifying that the initiatives programmed meet the aims decided; b) mergers and demergers pursuant to Art. 2505 and 2505-bis of the Italian Civil Code; c) the opening and closing down of secondary offices; d) the decrease in the share capital if a shareholder withdraws from the Bank; e) amendment of the by-laws to comply with legislation, subject to consultation with the Management Board.

In addition to promoting the activity of the Board, the Chairman of the Supervisory Board, consistent with the functions attributed to the Board itself, plays a significant role: - in supervising and activating procedures and auditing systems concerning the activity of the Bank and of the Group, by, amongst other things, requesting and receiving information from the person in charge of drawing up the corporate accounting documents and from the persons in charge of the different functions concerned; - in the relationships between the Supervisory Board and the Management Board, ensuring the efficient co-ordination of the actions of the corporate bodies. The Chairman of the Supervisory Board convenes – on his own initiative and, in any event, in the cases prescribed by Law or the by-laws – and chairs the meetings of the Board itself, setting the agendas, also taking account of the proposals formulated by the Senior Deputy Chairman and the other Deputy Chairmen and ensuring that adequate information about the topics contained on the agenda are provided to all the members of the Supervisory Board.

196 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f The following internal committees have been formed from within the Supervisory Board.

The Appointments Committee composed of the following Supervisory Board members Corrado Faissola - Chairman Giuseppe Calvi Carlo Garavaglia Mario Mazzoleni Giovanni Bazoli Alberto Folonari with proposal making functions, called upon to identify, according to the cases, candidates for appointment by shareholders’ meetings to the post of supervisory board member of the Bank, inclusive of senior “apical” positions (i.e. Chairman and Senior Deputy Chairman of the Supervisory Board of the Parent Bank) and candidates, for appointment by the Supervisory board, to the posts of Deputy Chairman of the Supervisory Board and member of the Management Board of the Bank, including candidates to “apical” positions (i.e. Chairman and Deputy Chairman of the Management Board and Chief Executive Officer of the Bank). The Appointments Committee also identifies candidates for one third of the members of the boards of directors, the chairman of the board of statutory auditors and an alternate statutory auditor of the principal banks controlled by UBI Banca, without prejudice to the powers of appointment of the Management Board described later in this document.

The Remuneration Committee composed of the following Supervisory Board members: Alessandro Pedersoli - Chairman Giuseppe Calvi Giuseppe Lucchini Toti S. Musumeci Alberto Folonari with the function of making proposals to the Supervisory Board for the remuneration - of the Chairman, the Senior Deputy Chairman, the Deputy Chairmen and the Members of the Supervisory Board and those who have been assigned particular responsibilities, powers or functions under the by-laws or by the Supervisory Board itself; - of members of the Management Board; - of the Chairman and the Deputy Chairman of the Management Board and those members of the Management Board who have been assigned posts, duties or powers or who have been appointed to committees. The Committee is also required - to express an opinion on proposals submitted by the Management Board for the remuneration of the senior management of the Bank and of the governing and control bodies of the main subsidiary banks; - to define the guidelines for the determination by the relative bodies of the remuneration of the senior management of all the subsidiaries and the governing bodies of the other subsidiaries.

The Internal Control Committee composed of the following Supervisory Board members: Sergio Pivato - Chairman Luigi Bellini Mario Cattaneo Carlo Garavaglia Italo Lucchini with the task of assisting, with investigative, consultative and proposal making functions, the Supervisory Board in its responsibilities concerning the system of internal control which concerns all corporate sectors and structures with regard to: their appropriateness to ensure constant and continuous monitoring of risks; the effectiveness and efficiency of corporate processes; protecting the value of assets and protection against losses; the reliability and integrity of accounting and management information; compliance of operations with both policies established by corporate governing bodies and internal and external regulations. The committee performs its tasks ordinarily by obtaining information from the Chief Executive Office, the General Manager, the executive board member responsible for supervising the functionality of the internal control system, the senior manager responsible for internal control who is the manager responsible for internal auditing who reports fully and continuously to the Internal Control Committee, the senior officer responsible for preparing corporate accounting documents, the independent auditors and from the results of the activities of the specific committees formed by the Supervisory Board and by the Supervisory Body in accordance with Legislative Decree No. 231/2001. In order to provide constant information on the main management events, a member of the Internal Control Committee attends meetings of the Management Board on a rotating and non voting basis and reports to the other members of the committee at its next following meeting. When necessary, the committee also uses all other

197 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f channels of information required to perform its activities, also making use, if considered appropriate, of support from outside consultants.

The Accounts Committee composed of the following Supervisory Board members: Mario Cattaneo - Chairman Carlo Garavaglia Federico Manzoni Sergio Orlandi with the function of assisting the Supervisory Board with issues concerning the accounts and to provide a more efficient distribution of tasks and responsibilities between the various bodies within the Supervisory Board.

Management Board

The Management Board is composed of ten members appointed by the Supervisory Board. The members of the Management Board are appointed for a period of three years and may be re- appointed. While the legal and regulatory requirements for integrity and professionalism remain in place, on the basis of the Corporate By-Laws in force: i) at least one of the members of the Management Board must hold the requirements of independence set forth in Art. 148, paragraph three of the Legislative Decree No. 58 of 24th February 1998; ii) at least the majority must have at least three years experience in management and/or professional activities in financial and/or banking and/or insurance institutions in Italy or abroad. The Management Board meets at least once a month, as well as any other time the Chairman shall it deem it convenient or when requested by five members. The meetings take place alternating between the city of Bergamo and the city of Brescia and once a year in the city of Milan. The Management Board is responsible for the management of the Bank in observance of the general strategic policies and programmes approved by the Supervisory Board on the proposal of the Management Board itself. To this end it performs all the operations necessary and useful or in any case appropriate to implementation of the business purpose, whether of an ordinary or extraordinary operating nature. In addition to those powers that cannot be delegated by Law, the by-laws reserve numerous exclusive duties to the Management Board, some of which concern strategic supervision and as such must be submitted to the Supervisory Board for approval and they include the following: - the definition, on the proposal of the Chief Executive Officer, of the general programmes and strategic policies of the Bank and the Group; - the preparation, again on the proposal of the Chief Executive Officer, of business and/or financial plans, as well as the budgets of the Bank and the Group; - decisions concerning strategic operations. The Management Board is also responsible for: - determining the criteria for the co-ordination and management of Group companies, as well as the criteria for carrying out instructions issued by the Bank of Italy; - policy for risk management and internal auditing; The Management Board also has other exclusive responsibilities of a more strictly management nature, described in detail in article 37 of the corporate by-laws, which include the following: - the appointment of members to the boards of directors of the banks and companies of the Group, without prejudice to the powers of the Appointments Committee already mentioned; - the acquisition and disposal of equity investments; - the determination of the organisational, administrative and accounting structure of the Bank; - definition of the criteria for identifying transactions with correlated parties for which it shall hold responsibility itself. In general and unless the relative resolution must be passed by qualified majorities, the meetings of the Management Board shall be considered as being validly held if they are attended by more than half of the members in office. The resolutions of the Management Board are passed by manifest voting, with the favourable vote of the majority of the members attending, except for the following decisions for which the by-laws require larger quorums: a) proposals for by-law amendments, to be submitted to the attention of the Supervisory Board for subsequent approval by an Extraordinary General Meeting; b) total or partial transfer of the shareholdings held in the following companies: Banca Popolare Commercio e Industria S.p.A., Banca Popolare di Bergamo S.p.A., Banca Popolare di Ancona S.p.A., Banca Carime S.p.A., Centrobanca S.p.A., Banco di Brescia S.p.A. and Banca Regionale Europea S.p.A., as well as the establishment of any kind of encumbrances on their shares; c) determination of the vote to be given in the meetings of the companies listed under b) convened for the approval of increases in share capital with option rights excluded (by payment or against contributions in kind), the issuance of convertible bonds or bonds with warrant, with option rights excluded, which involve, if subscribed, the loss of control by the Bank;

198 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f d) determination of the vote to be given in the meetings of the companies mentioned above under b) convened for deciding on the merger through incorporation into the Bank or into other companies, on their transformation, demerger, early winding-up, changes in the business purpose, name change or relocation of the registered office out of the municipality in which they are currently located and on the transfer of the banking company or of a substantial part of it to third parties not forming part of the group; e) appointment to the office of member of the Board of Directors and of the Board of Auditors of the companies listed in b), with respect for the proposals of the Appointments Committee if provided; f) assignment, if considered appropriate, of one member of the board to supervise the functions of the internal control system. The Management Board reports to the Supervisory Board on general management trends and on the most important operations, in terms of size and nature, performed by the Bank and its subsidiaries and it reports in any case on the operations in which the members of the Management Board have a self- interest on their own account or on behalf of third parties. The reporting is performed during the meetings of the Supervisory Board and in any case, at least quarterly; it may also be performed in writing.

The Chairman of the Management Board, who acts as the Bank's legally authorised representative and authorised signatory, performs the tasks that are typically carried out by the Chairman of a company’s management body, which he performs by liaising with the other by-law regulated bodies, if necessary. The Chairman of the Management Board is also responsible for relations with the Supervisory Authority, in agreement with the Deputy Chairman and the Chief Executive Officer, and he also supervises, in agreement with the Chairman of the Supervisory Board and with the Chief Executive Officer, external disclosures of information concerning the Bank. The Chairman of the Management Board and the Deputy Chairman of the Management Board – called upon to perform the functions of chairman if the Chairman is absent or unable to act – are appointed by the Supervisory Board upon proposal of the Appointments Committee.

The Management Board is responsible for assigning and revoking the powers of the Chief Executive Officer; in accordance with the by-laws, the identification of the member of the Management Board to whom the executive powers are to be assigned must be performed upon the proposal of the Supervisory Board, decided in turn, subject to designation by the Appointments Committee. In its meeting of 2nd April 2007, the Management Board, in observance of by-law regulations in force, assigned the following powers and duties to the Chief Executive Officer: - to supervise the management of the Bank and of the Group; - to supervise the strategic co-ordination and the management control of the Bank and the Group; - to supervise the implementation of the organisational and business structure decided by the Management Board and approved by the Supervisory Board; - to determine working directives for the General Management; - to oversee the integration of the new Group, consulting and involving the Deputy Chairman and the Management Board; - to submit management policies, the business and strategic plan and the budget to the Management Board and to supervise their implementation through the General Management; - to propose budgetary policy and policies on the optimisation of the use and enhancement of human resources and to submit draft financial statements and periodical financial reports to the Management Board; - to propose appointments to the senior operational and executive management of the Group to the Management Board, in agreement with the Chairman and Deputy Chairman of the Management Board and after consultation with the General Manager; - to promote integrated risk management. The Chief Executive Officer reports quarterly to the Management Board and to the Supervisory Board on operating performance and foreseeable developments and on the most important operations performed by the company and its subsidiaries. He also reports monthly to the Management Board and at least every 60 days to the Supervisory Board on the main accounting results of the Bank, its main subsidiaries and the Group.

On the basis of its powers under Art. 43 bis of the by-laws, in its meeting of 15th June 2007 the Management Board appointed the board member Alfredo Gusmini with responsibility to oversee the operation of the internal control system with the task – to be carried out in close co-operation and agreement with the Chief Executive Officer and the General Manager – of overseeing the promotion and implementation of an internal control system that is adequate for the Bank and its Group in terms of effectiveness and efficiency. More specifically, in its meeting of 27th May 2008 the Management Board assigned the following responsibilities to the board member with responsibility for overseeing the functioning of the internal control system:

199 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f - to support the Management Board, with analyses, investigations and proposals, in the organisation, implementation, maintenance and the assessment of the first level adequacy of the system of internal controls. The board member with responsibility for internal controls is generally responsible for promoting and driving decisions made by the Management Board on internal controls and for making proposals, while each individual member of the board maintains the right to make observations, requests and proposals on the subject independently. - to ensure constant monitoring and co-ordination of activity concerning the organisation, implementation, maintenance and the assessment of the first level adequacy of the system of internal controls and also to make sure that the effectiveness of the system of internal controls is constantly monitored and to propose corrective action to the Management Board if necessary. He also interacts with all the control units of the Bank and the Group at both second and third level, obtaining the necessary co-operation and support, in order to achieve these goals. The board member with responsibility for overseeing the functioning of the system of internal controls must report monthly to the Management Board on the performance of his work and ensure that the Management Board receives full information on the subject.

The Management Board then proceeded in its meeting of 13th July 2007, to form the Supervisory Body in accordance with Legislative Decree No. 231/2001, which is currently composed as follows: - an external professional in the person of the criminal lawyer Roberto Magri - the head of the Internal Auditing Area – Francesco Rota Conti; - the head of the Human Resources and Organisation Macro Area – Graziano Caldiani - the head of the Legal and Corporate Affairs Macro Area – Ettore Medda - the member of the Supervisory Board Federico Manzoni - the member of the Supervisory Board Giorgio Perolari

As concerns the General Management, the by-laws provide for the appointment, by the Management Board, of a General Manager, a Joint General Manager as well as the right to appoint one or more Deputy General Managers, in accordance with the organisation chart established by the Management Board itself, which will determine their powers. In its meeting of 2nd April 2007, the Management Board, in observance of the provisions of the by-laws, assigned the following functions and responsibilities to the General Manager: - he is the chief operational officer; - he is the head of the personnel; - he generally (unless otherwise indicated by the administrative bodies responsible) sees that the decisions taken by the Management Board and the Chief Executive Officer are implemented; - he manages everyday business in compliance with the policies set by the governing bodies; - he attends Management Board meetings with an advisory vote; - he co-ordinates the operations of the bank and the Group.

In its meeting of 17th April 2007, the Management Board proceeded to appoint Elisabetta Stegher, the head of the Administration Area of the Bank, as senior officer responsible for preparing the company accounting documents under Art. 154 bis of Legislative Decree No. 58/1998.

200 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

GLOSSARY

201 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f ABS (Asset Backed Securities) Financial instruments issued against securitisations (cf. definition) on which the yield and redemption are guaranteed by the assets of the originator (cf. definition), which are earmarked exclusively to satisfy the rights incorporated in the financial instruments themselves. Technically debt securities are issued by an SPE (cf. definition). The portfolio underlying the securitisation may consist of mortgage loans, other loans, bonds, commercial paper, loans resulting from credit cards or even other assets. Depending on the type of underlying asset, ABSs may be classified as follows: credit loan obligation (the portfolio consists of bank loans); - collateralised bond obligation, CBO (the portfolio consists of junk bonds); - collateralised debt obligation, CDO (the portfolio consists of bonds, debt instruments and securities in general); - residential mortgage backed security RMBS (the portfolio consists of mortgage loans on residential properties). commercial mortgage backed security, CMBS (the portfolio consists of mortgage loans on commercial properties).

Acquisition finance Finance for company acquisition operations

ALM (Asset & Liability Management) Integrated management of assets and liabilities designed to allocate resources in such a way as to optimise the risk to yield ratio.

Asset Management Management of financial investments belonging to others.

ATM (Automated teller machine) Automatic device used by customers to perform operations such as withdrawing cash, paying in cash or cheques, requesting information on their accounts, paying utility bills, recharging telephones, etc.. Customers operate the machine by inserting a card and typing in a personal identification number.

Backtesting Retrospective analyses designed to test the reliability of measurements of risk attached to the positions of asset portfolios.

Banc assurance Term used to refer to the sale of traditional insurance products through a bank’s branch network.

Banking book This usually identifies that part of a securities portfolio, or in any case financial instruments in general, destined to “ownership” activities.

Basel 2 New international agreement on capital which identifies the guidelines for calculating the minimum capital requirements for banks1. The new prudential regulations are based on “three pillars”: First Pillar (Pillar 1): while it maintains the objective of a level of capitalisation equal to 8% of risk weighted exposures, a new system of rules has been defined for measuring risks typical of banking and financial activities (credit, counterparty, market and operational risks), which introduces alternative methods of calculation characterised by different levels of complexity, with the possibility of using internally developed rating systems, subject to prior authorisation from the Supervisory Authority. Second Pillar (Pillar 2): this requires banks to equip themselves with processes and instruments to calculate their total internal capital adequacy requirement (Internal Capital Adequacy Assessment

1 The first version of the agreement, known as Basel 1, dates back to 1988 and was signed in that Swiss city, where the Bank for International Settlements (BIS) has its headquarters, an organisation which has been promoting monetary and financial co-operation on a worldwide scale since 1930 (it is known in Italy as Banca per i regolamenti Internazionali - BRI). The Basel Committee operates within it, formed by the governors of the central banks of the ten most industrialised countries (G10) at the end of 1974, and it is this that has formulated the agreements or “accords”. The following are currently represented on it: Belgium, Canada, France, Germany, Holland, Italy, Japan, Luxembourg, Spain, Sweden, Switzerland, United Kingdom, United States. The Basel Committee has no supranational authority: the member countries may decide to comply with the accords but they are not bound to accept the decisions of the committee. The compulsory nature of Basel 2 for EU countries is in fact the result of a European Parliament directive which adopted it in September 2005. The first Basel accord, signed by the central authorities of more than 100 countries, established the obligation for the banks participating in it to set aside a share of their capital amounting to 8% of the loans disbursed, independently of assessments, using rating procedures, of the reliability of the companies that had requested them.

202 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Process - ICAAP) to meet each type of risk, which may even be different from those covered by the total capital requirement (first pillar). The Supervisory Authority is responsible for reviewing the ICAAP process, for formulating an overall opinion and, where necessary, for activating appropriate corrective action; Third pillar (Pillar 3): transparency obligations have been introduced for disclosures to the public on levels of capital and risk and how they are managed.

Basis point One hundredth of a percentage point (0,01%).

Basis swap Contract which involves an exchange between two counterparties of payments linked to variable interest rates based on different indices.

Benchmark A standard for the measurement of financial investments: it may consist of well known market indices or of others that are more suited to the risk-yield profile.

Best practice Conduct that is comparable with the most significant and/or best level achieved in a given field or profession.

Business risk The risk of adverse and unexpected changes in profits and margins with respect to forecasts, connected with volatility in volumes of business due to competitive pressures and market conditions.

CAGR – Compound annual growth rate The annual growth rate applied to an investment or other assets for a period of several years. The formula for calculating CAGR is (present value/base value)^(1/number of years).

Capital allocation Process by which decisions are made on how to distribute investments among different types of financial asset (e.g. bonds, equities and liquidity). Capital allocation decisions are determined by the need to optimise the risk/return ratio in relation to the time horizon and the expectations of the investor.

Capitalisation policies See the preceding item “Capitalisation (insurance) certificates”.

Captive Term generally used to refer to distribution networks or companies that operate exclusively with customers belonging to the relative company or group.

Certificati (assicurativi) di capitalizzazione Capitalisation contracts fall within the field of application of the legislation on direct life insurance contained in Legislative Decree No. 174 of 17th March 1995. As defined in Art. 40 of that legislative decree, these are contracts with which insurance companies agree to pay capital equal to the premium paid, revalued periodically on the basis of the return on separate internal management of financial assets or, if higher, a minimum guaranteed return, as the consideration for the payment of single or periodical premiums. They cannot have a life of less than five years and the policyholder has the right to cash-in the policy from the beginning of the second year onwards. In accordance with Art. 31 of the cited Legislative Decree No. 174, financial assets used to hedge technical reserves are reserved exclusively to comply with obligations connected with capitalisation contracts (separate management). Consequently, if the insurance company is placed in liquidation (Art. 67), the beneficiaries of those policies have title as creditors with special privileges.

Commercial paper Short term securities issued to collect funds from third party purchasers as an alternative to other forms of debt.

Concentration risk Risk resulting from exposures in the banking portfolio to counterparties, groups of counterparties in the same economic sector or counterparties which carry on the same business or belong to the same geographical area. Concentration risk can be divided into two types: - single name concentration risk; - sector concentration risk.

203 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Consumer finance Lending for consumption. Loans granted to private individuals for the consumption of goods and services.

Corporate governance Corporate governance defines the assignment of rights and responsibilities to the participants in the life of a company in relation to the distribution of duties, responsibility and decision making powers by means of the composition and functioning of internal and external corporate bodies. One fundamental objective of Corporate Governance is to create maximum value for shareholders, which, in the medium to long term, is also advantageous for other stakeholders, such as customers, suppliers, employees, creditors, consumers and the community.

Covered bond Special bank bonds which, in addition to the guarantee given by the issuing bank, also offer as security a portfolio of mortgage or other high credit quality loans transferred for that purpose to a “special purpose entity”2. Banks which intend to issue covered bonds must have assets of not less than 500 million euro and a total capital ratio at consolidated level of not less than 9%. The share of the assets potentially useable as security that are transferred may not exceed the following limits, calculated on the basis of the level of capitalisation: - 25% in cases of a capital ratio ≥ 9% and <10% with tier 1 ratio ≥ 6%; - 60% in cases of a capital ratio ≥ 10% and < 11% with tier 1 ratio ≥ 6,5%; no limit in cases of a capital ratio ≥ 11% with tier 1 ratio ≥ 7%.

Credit default swap Contract by which one party transfers, for a payment of a periodical premium to the other, a credit risk attached to a loan or a security when a determined event occurs linked to the deterioration in the solvency of the debtor.

Credit risk The risk of incurring losses resulting from the default of a counterparty with whom a position of credit exposure exists.

Default A declared condition of being unable to honour debts and/or payment of the relative interest.

Factoring Contract for the sale, either without recourse (with the credit risk attaching to the purchaser) or with recourse (the credit risk remains with the seller), of trade accounts receivable to banks or specialist companies, for management and cash receipt purposes, to which a loan to the seller may be associated.

Fair value The amount of consideration for which an asset can be exchanged, or a liability settled under free market conditions, between knowledgeable and willing parties. This is often the same as the market price. On the basis of IAS (cf. definition) banks apply fair value, when measuring the value of financial instruments (assets and liabilities) held for trading, available for sale and derivatives and they may use it to measure the value of equity investments and property, plant and equipment and intangible assets (with different impacts on the income statement for the different assets considered).

Floor Derivatives contract on interest rates, traded outside regulated markets, with which a lower limit is set on the reduction of the lending rate.

FRA (Forward Rate Agreement) Contract whereby the parties agree to receive (pay) at the end of the contract, the difference between the amount calculated by applying a set interest rate and the amount obtained on the basis of the level of a reference rate chosen beforehand by the parties.

Funding Acquisition in various forms of the funds required for the activities of a company or for particular financial operations.

2 Covered bonds issued by banks are regulated in Italian law by Law No. 130 of 30th April 1999 (Art. 7-bis). The way in which they work is for a bank to transfer high quality credit assets (mortgage loans and loans to public administrations) to a special purpose entity and for a bank, even a different bank from the transferor or “originator”, to issue bonds guaranteed by the special purpose entity using assets acquired as collateral, which constitute separate capital. The details for the application of the regulations are contained in Ministerial Regulation No.310 of 14th December 2006 and in the supervisory instructions of the Bank of Italy of 15th May 2007.

204 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Futures Standardised forward contracts with which the parties agree to exchange securities or goods at a set price on a future date. These contracts are usually traded on organised markets, where the execution of the contract is guaranteed.

Geographical disaster recovery A set of technical and organisational procedures set in motion when a catastrophe occurs which causes the complete data processing platform to shut down. The objective is to reactivate EDP functions that are vital to the company at a secondary (recovery) site. A disaster recovery system is defined as “geographical” when it is located at least 50 km from the original system. The primary objective is to reduce risk arising from disaster events with a potential impact on an entire metropolitan area (i.e. earthquakes, floods, military intervention, etc.) as prescribed by international safety standards.

Goodwill This is the amount paid for the acquisition of an interest in a company which is the difference between the cost and the corresponding proportion of the shareholders’ equity, for that part that is not attributed to the assets of the company acquired.

Hedge fund A mutual investment fund which has the possibility (denied to traditional fund managers) of using sophisticated investment instruments or strategies, such as short selling, derivatives (options or futures, even up to more than 100% of the assets), hedging (hedging the portfolio against market volatility by short selling and the use of derivatives) and financial leverage (borrowing to then invest the money borrowed).

IAS/IFRS International accounting standards set by the International Accounting Standards Board (IASB), a private sector international body set up in April 2001, to which the accounting professions of major countries belong, while the European Union, the IOSC (International Organisation of Securities Commissions) and the Basel Committee participate as observers. This body has taken over from the International Accounting Committee (IASC), formed in 1973 to promote the harmonisation of rules for preparing company accounts. When the IASC was transformed into the IASB, one decision taken was to term the new accounting standards “International Financial Reporting Standards” (IFRS).

Identity access management A technical and organisational method used to manage and monitor the entire life cycle of granting, managing and revoking access privileges to ICT resources and therefore to company information by each user.

Impaired loans Loans at their face value to persons in situations of objective difficulty where, however, it is felt the difficulties can be overcome in an appropriate period of time.

Impairment According to IAS (cf. definition), this is the loss of value in an asset in the accounts, recognised when the carrying value is greater than the recoverable value, which is to say the amount that could be obtained from selling it or using it in business. Impairment tests must be performed on all assets except for those recognised at fair value for which any losses (or gains) in value are implicit.

Index linked A life policy, the performance of which is linked to that of a reference parameter which could be a share index, a basket of securities or another indicator.

Interest rate risk Current or future risk of a change in net interest income and in the economic value of the Bank following unexpected changes in interest rates which have an impact on the banking portfolio.

Internal audit Function to which internal auditing activity is attributed institutionally.

205 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Investment banking Investment banking is a highly specialist financial sector which assists companies and governments to issue securities and more generally to obtain funds on capital markets.

Investment grade High quality bonds which have received a medium-to-high rating (e.g. not less than BBB on the Standard & Poor’s scale).

Joint venture Agreement between two or more companies to perform a determined economic activity usually by forming a joint stock company.

Junior In a securitisation operation, it is the most subordinated tranche of the securities issued, which is the first to meet the losses that may be incurred in the recovery of the underlying assets.

Leasing Contract by which one party (lessor) grants the use of an asset to the other party (lessee) for a determined period of time. The asset is purchased by or constructed for the lessor on the instructions and as selected by the lessee, where the lessee has the right to purchase the ownership of the asset under preset conditions at the end of the leasing contract.

Liquidity risk Risk of the failure to meet payment obligations which can be caused either by an inability to raise funds or by raising them at higher than market costs (funding liquidity risk), or the presence of restrictions on the ability to sell assets (market liquidity risk) with losses incurred on capital account

Lower Tier II Subordinated liabilities which form part of the supplementary or tier 2 capital (cf definition) on condition that the contract governing their issue expressly stipulates that: a) in the case of liquidation of the issuer the debt will only be repaid after all the other higher ranking creditors have been satisfied; b) the duration of the contract is equal to or longer than 5 years and, if a maturity date is not set, advance notice of at least 5 years must be given prior to redemption; c) early repayment of the debt may only take place on the initiative of the issuer and must be authorised by the Bank of Italy. The amount of subordinated bonds admissible as supplementary capital is reduced by one fifth each year over the five years prior to the maturity date of each bond in the absence of an amortisation plan which has similar effects.

Mark down Difference between the average borrowing rate for the direct forms of funding employed and the Euribor rate.

Mark to market Valuation of a securities portfolio and of other financial instruments on the basis of market prices.

Mark up Difference between the average lending rate for the forms of lending employed and the Euribor rate.

Market risk The risk of changes in the market value of positions in the trading portfolio for supervisory purposes due to unexpected changes in market conditions and creditworthiness. It also includes risks resulting from unexpected changes in foreign exchange rates and commodities prices which relate to all balance sheet items.

Merchant banking This activity includes: the acquisition of securities, equities or debt, of corporate customers for subsequent sale on the market; the acquisition of equity interests of a more permanent nature, but again with the objective of subsequent sale; advisory activities to companies for mergers and acquisitions or restructuring.

Mezzanine In a securitisation operation it is the tranche with an intermediate level of subordination between that of the junior tranche and that of the senior tranche.

206 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Monoline These are insurance companies with one single line of business, which is financial insurance. Their activities include the insurance of bonds (ABS and MBS) for which the underlying assets consist of personal loans and property mortgage loans. The insurance guarantees the redemption of the bond by assuming direct responsibility for the risk of debtor insolvency in exchange for a commission.

Non performing A term which refers generally to loans with irregularities in the repayments.

Non performing loans Loans to persons or entities that are either insolvent (even if not declared as such in the courts) or in equivalent circumstances.

NUTS - Nomenclature of Territorial Units for Statistics in Italy This is used for statistics purposes at European level (Eurostat) and involves the following division. Northern Italy: Piedmont, Valle d’Aosta, Liguria, Lombardy, Trentino Alto Adige, Veneto, Friuli Venezia Giulia, Emilia Romagna; Central Italy: Tuscany, Umbria, Marches, Latium; Southern Italy: Abruzzo, Molise, Campania, Puglia, Basilicata, Calabria, Sicily, Sardinia.

OICR (collective investment instrument) This term includes OICVMs (cf. definition) and other mutual investment funds (property mutual investment funds, closed mutual investment funds).

OICVM (collective equity security investment organisations) The term includes open, Italian and foreign mutual investment funds and investment companies with variable capital (Sicavs).

Operational risk The risk of loss resulting from inadequate or failed procedures, human resources and internal systems or from exogenous events. This type of risk includes losses resulting from fraud, human error, business disruption, system failure, non performance of contracts and natural disasters. It includes legal risk.

Options These consist of the right, but not a commitment, acquired with the payment of a premium, to purchase (call option) or to sell (put option) a financial instrument at a determined price (strike price) before (American option) or on (European option) a future date.

Originator Entity which transfers its portfolio of deferred liquidity assets to an SPE (cf. definition) for it to be securitised.

OTC derivatives traded with customers Activity to support customers in managing financial risks and more specifically in managing risks resulting from fluctuations in exchange rates, interest rates and commodity (raw materials) prices.

Over the counter (OTC) Operations concluded directly between parties without the use of a regulated market.

Past due Exposures that are past due and/or continuously in arrears for more than 180 days according to the definition contained in the supervisory instructions in force.

Plain vanilla swap Interest rate swap, in which one counterparty receives a variable payment linked to the LIBOR (generally the six month LIBOR) and pays a fixed rate to the other counterparty, obtained by adding a spread to the yield on a type of government security.

POS terminal (point of sale terminals) Automatic device for the payment of goods or services at suppliers premises using credit, debit or prepaid cards.

Preference shares Innovative capital instruments issued by foreign subsidiaries in the banking group, which combine yields linked to market rates with particularly low subordination such as for example no recovery in future years of interest not paid by the parent bank and sharing in the losses of the bank itself if these losses result in a substantial reduction in capital requirements. The conditions under which preference shares

207 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f can be included in the core capital of banks and banking groups are set out in the supervisory instructions of the Bank of Italy.

Price sensitive A term which generally refers to information or data that is not in the public domain, which if disclosed would have a marked effect on the price of a security.

Private equity Activities involving the acquisition of equity interests and the subsequent placement with specific counterparties without offering them for sale to the public.

Project finance Financing of projects on the basis of forecasts of the cash flows that will be generated by them. As opposed to the way in which risks are analysed with ordinary lending, with the project financing technique, not only are the expected cash flows analysed, but specific factors are also examined such as the technical aspects of the project, the suitability of the sponsors for carrying it out and the markets on which the products will be sold.

Rating A rating of the quality of a company or its issues of debt securities on the basis of the soundness of the company’s finances and its prospects.

Reputation risk The risk of incurring losses resulting from a negative perception of the image of the Bank by customers, counterparties, shareholders of the bank, investors, the supervisory authority or other stakeholders.

Residual risk The risk of incurring losses resulting from the unforeseen ineffectiveness of established methods of mitigating risk used by the Bank.

Restructured loan Position for which a Bank has agreed a longer period of repayment for a debtor, renegotiating the exposure at lower than market rates.

Risk free rate Rate of interest on a risk free asset. In practice it is used to refer to the interest rate on short term government securities even if they cannot be considered risk free.

Risk weighted assets A figure obtained by multiplying the total supervisory capital requirements (credit risks, market risk and other prudential requirements) by a coefficient of: - 14,3 for companies belonging to banking groups; - 12,5 for banking groups (consolidated) and companies that do not belong to banking groups.

Risks resulting from securitisations The risk that the underlying economic substance of a securitisation is not fully reflected in decisions made to measure and manage risk.

Securitisation Sale of debts or other financial assets that are not negotiable instruments to a special company (special purpose entity) whose sole business is to perform those operations and to convert those loans or assets into securities traded on secondary markets.

Senior In a securitisation transaction it is the tranche with the highest level of privilege in terms of priority for remuneration and repayment.

Sensitivity analysis System analysis designed to measure changes in determined assets and liabilities resulting from fluctuations in interest rates and other reference parameters.

Servicer In securitisation transactions, it is a company which continues to manage the debts or assets subject to securitisation on the basis of a special servicing contract after they have been sold to the special purpose entity responsible for issuing the securities.

208 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f SPE/SPV Special purpose entities (SPE) or special purpose vehicles (SPV) are entities (companies, trusts or other entities), specially formed to achieve a determined objective that is well-defined and circumscribed, or to perform a specific operation. SPEs/SPVs have a legal status that is independent from the others involved in the operation and generally have no operating or management units of their own.

Spread This term normally refers to: - the difference between two interest rates; - the difference between the buying (bid) price and the selling (asking) price in securities trading; - the premium that the issuer of securities recognises in addition to a reference rate.

Stakeholders Individuals or groups who have specific interests in an enterprise either because they depend upon it to achieve their goals or because they are considerably effected by the positive or negative effects of its activities.

Stock Options Term used to refer to options offered to the managers of a company which allow them to purchase shares in the company at a set price.

Strategic risk Current or future risk of a fall in profits or in capital resulting from: - changes in the operating context; - errors in corporate decision-making; - inadequate implementation of decisions; - failure to react to change in a competitive environment.

Structured notes Bonds for which the interest and/or the redemption value depend on a real parameter (linked to the price of a commodity) or the performance of indices. In these cases the implicit option is unbundled from the host contract in the accounts. When it is linked to interest rates or inflation (e.g. CCTs – Treasury Certificates of Credit), the implicit option is not unbundled from the host contract in the accounts.

Subordinated bonds Financial instruments for which the conditions of sale state that the bearers of the debt certificates are satisfied after other creditors if the issuing entity goes into liquidation.

Subprime mortgages The concept of subprime does not refer to the loan in itself, but rather to the borrower. Technically it refers to a borrower who does not have a fully positive credit history, because characterised by negative lending events such as: the presence of repayments on previous loans not made, of cheques without funds and so on. These past events are symptomatic of a greater intrinsic riskiness of counterparties from whom a corresponding higher remuneration is requested by the lender who grants them a mortgage. Business with subprime customers developed in the American financial market where the grant of these loans was usually accompanied by securitisation activity and the issue of securities. Alt-A mortgage loans are defined as loans granted on the basis of incomplete or inadequate information.

Supervisory capital This consists of the sum of the tier 1 capital – admitted in the calculation without any limitation – and the supplementary capital which is admitted up to the maximum amount of the core capital. Equity holdings, innovative capital instruments, hybrid capital instruments and subordinated assets held in other banks and financial companies are deducted in the measure of 50% from the tier 1 capital and 50% from the supplementary capital (more specifically non consolidated equity interests of more than 10% held in banks and financial companies as well as equity interests of less than 10% in banks and financial companies and subordinated assets issued by banks, which exceed 10% of the core and the supplementary capital are deducted). Equity investments in insurance companies, subordinated liabilities issued by them and securitisation positions are also deducted.

Swaps (on interest or foreign exchange rates) A transaction consisting of the exchange of cash flows between counterparties according to contracted conditions. With an interest rate swap the counterparties exchange the interest payments calculated on notional reference capital on the basis of different criteria (e.g. one counterparty pays a fixed rate and the

209 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f other a variable rate). In the case of currency swaps, the counterparties exchange specific amounts of two different currencies, returning them over time according to set conditions which concern both the principal and the interest.

Temporary agency work Temporary agency work or “leased” work, introduced by Law No. 196 of 24th June 1997, constitutes a temporary form of employment, whereby a company uses the work of a worker selected and employed by a private company (agency) for a determined period of time. The “user” company pays the agency for the work provided which then pays the worker and the pension and social security costs incurred.

Tier I (tier 1 capital) This consists of equity share capital paid in, reserves (inclusive of the share premiums), innovative capital instruments (but only if they meet the conditions to fully guarantee the stability of the bank)3, profit for the period and positive tier 1 capital prudential filters. Own shares, goodwill and intangible fixed assets, prior and current year losses, impairment losses on the trading portfolio for supervisory purposes and negative tier 1 capital filters are deducted from those items.

Tier II (supplementary capital) This consists of valuation reserves, innovative capital instruments not eligible for inclusion in tier 1 capital, hybrid capital instruments (irredeemable debt and other instruments redeemable on request of the issuer with the prior consent of the Bank of Italy) subordinated liabilities (for an amount reduced by one fifth over the five years prior to the maturity date), net gains on equity investments, positive supplementary capital prudential filters, any excess of net impairment losses over expected losses and positive exchange rate differences. The following negative elements are deducted from those items: net losses on equity investments, negative supplementary capital prudential filters, other negative items.

Tier III (third level subordinated debt) Subordinated bonds that satisfy the following conditions: - they have been fully paid; - they do not form part of the supplementary capital (cf. definition); - they have a life equal to or longer than two years; if the maturity is not set, the advance notice of the maturity must be at least two years; - they meet the conditions specified for similar liabilities included in the supplementary capital except of course those concerning the life of the debt; - they are subject to a “lock in” clause according to which the capital and the interest cannot be repaid if the repayment reduces the total amount of the bank’s capital to a level lower than 100% of the total capital requirements.

Trading book This usually identifies that part of a securities portfolio, or in any case financial instruments in general, destined to trading activities.

Trading on line System for buying and selling financial instruments on the stock exchange via Internet.

Trigger event A contractually predefined event, which determines the creation of rights in favour of the parties to the contract when it occurs.

TROR (total rate of return swap) This is a contract with which a “protection buyer” (also known as a “total return payer”) agrees to pay all the cash flows generated by a “reference obligation” to a “protection seller” (also know as the total return receiver), who in return transfers the cash flows linked to the performance of a “reference rate” to the “protection buyer”. On the dates on which the coupons for the cash flows are paid (or at the end of the contract), the “total return payer” pays the “total return receiver” any increase there may be in the “reference obligation”; if, on the other hand the “reference obligation” has decreased then it is the “total return receiver” who pays the relative amount to the “total return payer”. A TROR is in actual fact a structured financial product consisting of a combination of a credit derivative and an interest rate swap.

Unit-linked Life insurance policies with performance linked to the value of investment funds.

3 Innovative capital instruments may be included in the tier 1 capital up to a limit equal to 20 percent of the tier 1 capital, inclusive of the instruments themselves. In respect of that limit, instruments which contain automatic revision of rates of remuneration (termed ‘step-up’ clauses) connected with redemption rights or other types of clause designed as an incentive for redemption by the issuer must remain with a limit equal to 15 percent of the tier 1 capital, inclusive of the instruments themselves. Any excess may be included in the supplementary capital on a par with hybrid capitalisation instruments.

210 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Upper Tier II Hybrid capitalisation instruments which form part of the supplementary or tier 2 capital (cf. definition) when the contract specifies that: a) if there are losses in the accounts which cause a decrease in the capital paid in and in the reserves below the minimum level required for the authorisation to operate as a bank, the sums from those liabilities and the interest accruing on them can be used to replenish the losses, in order to allow the issuing entity to continue its business; b) if operating performance is negative, the right to remuneration can be suspended by that amount needed to prevent or limit the occurrence of losses as much as possible; c) in the case of liquidation of the issuer, the debt will only be repaid after all the other higher ranking creditors have been satisfied; Non irredeemable hybrid capitalisation instruments must have a life equal to or longer than ten years. There must be a specific clause in the contract stating that repayment is dependent on Bank of Italy authorisation.

VaR (value at risk) A measure of the maximum potential loss that may be incurred on a financial instrument or portfolio with a set probability (level of confidence) in a determined time period (the reference of holding period).

Warrant Negotiable instrument which grants the holder the right to purchase fixed rate securities or shares from the issuer or sell them to the issuer under precise conditions.

Zero-coupon Bonds which do not pay an interest note, where the yield is given by the difference between the issue (or purchase) price and the redemption price.

211 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f A rticolazione territoriale del Gruppo UBI Banca

Cene Via Vittorio Veneto, 9 Torre Boldone Via Carducci, 12 Chiuduno Via Cesare Battisti, 1 Torre de Roveri Piazza Conte Sforza, 3 Cisano Bergamasco Via Pascoli, 1 Trescore Balneario Via Locatelli, 45 Caprino Bergamasco Via Roma, 10 Treviglio Viale Filagno, 11 www.ubibanca.it Ciserano Urgnano Via Matteotti, 157 Via Pilabrocc, 10 Valbrembo Via Roma, 52 Bergamo Via Crispi, 4 Corso Europa, 17 (Fraz. Zingonia) Verdello Via Castello, 31 Brescia Via Cefalonia, 74 Cividate al Piano Via Papa Giovanni XXIII, 3 Vertova Via S. Rocco, 45 Milano Viale Monte Santo, 2 Clusone Via Verdi, 3 Villa d’Adda Via Fossa, 8 Colere Via Tortola, 58 Villa d’Almè Comun Nuovo Via Cesare Battisti, 5 Via Roma - angolo Via Locatelli, 1 Costa Volpino Via Nazionale, 150 Villongo Via Bellini, 20 Curno Largo Vittoria, 31 Vilminore di Scalve Piazza Giovanni XXIII, 2 Dalmine Zandobbio Via G. Verdi, 2 www.bpb.it Via Buttaro, 2 Zogno Viale Martiri della Libertà, 1 P.zza Caduti 6 luglio 1944 (c/o Tenaris Spa) Provincia di Brescia Lombardia Dezzo di Scalve Via Papa Giovanni XXIII, 33 Brescia Via Gramsci, 39 Provincia di Bergamo Dossena Via Carale, 9 Chiari Via Bettolini, 6 Bergamo Entratico Piazza Aldo Moro, 18 Concesio Viale Europa, 183 Piazza Vittorio Veneto, 8 Fontanella Via Cavour, 156 Darfo Boario Terme Piazza Col. Lorenzini, 6 Viale Vittorio Emanuele II, 5 (c/o Inps Bg) Foresto Sparso Via Tremellini, 1 Desenzano del Garda Viale Andreis, 74 Via dei Caniana, 2 (c/o Università) Gandino Via C. Battisti, 5 Esine Via Manzoni, 97 Via Borgo Palazzo, 51 Gazzaniga Via Marconi, 14 Manerbio Via Dante, 5 Via Borgo Santa Caterina, 6 Gorlago Piazza Gregis, 12 Orzinuovi Piazza Vittorio Emanuele II, 31/33 Via Suardi, 24B (c/o A2A Spa) Gorle Piazzetta del Donatore, 5 Ospitaletto Via Martiri della Libertà, 27 Via Gombito, 6 Grassobbio Viale Europa, 8/B Palazzolo sull’Oglio Piazza Roma, 1 Via Borgo Palazzo, 135 Grumello del Monte Paratico Via Don G. Moioli, 17 Via Gleno, 49 Via Martiri della Libertà, 10 Rezzato Via Europa, 5 Via Mattioli, 69 Leffe Via Mosconi, 1 San Paolo Via Mazzini, 62 Piazza Risorgimento, 15 Lovere Via Tadini, 30 San Zeno Naviglio Via Tito Speri, 1 Piazza Pontida, 39 Lovere-Lovere Sidermeccanica Spa Via Leone XIII, 2 Via Paglia, 45 Provincia di Como Via San Bernardino, 96 Madone Via Papa Giovanni XXIII, 44 Como Adrara San Martino Via Madaschi, 103 Mapello Piazza del Dordo, 5 Via Giovio, 4 Albano Sant’Alessandro Via Cavour, 2 Martinengo Via Pinetti, 20 Via dei Mille 2/B Albino Nembro Piazza della Libertà Como-Camerlata Via Badone, 48 Via Mazzini, 181 Orio al Serio Via Aeroporto, 13 Cantù Via Lunga, 1 (Fraz. Fiobbio) Osio Sopra Via XXV Aprile, 29 Piazza Marconi, 9 Almè Via Torre d’Oro, 2 Osio Sotto Via Cavour, 2 Via Enrico Toti, 1/A (Fraz. Vighizzolo) Almenno San Bartolomeo Via Falcone, 2 Paladina Via IV Novembre, 13 Cermenate Via Matteotti, 28 Almenno San Salvatore Via Marconi, 3 Palosco Piazza A. Manzoni, 16 Erba Via Leopardi, 7/E Alzano Lombardo Piazza Garibaldi, 3 Parre Via Duca d’Aosta, 20/A Mariano Comense Corso Brianza, 20 Arcene Corso Europa, 7 Piazza Brembana Via B. Belotti, 10 Oltrona San Mamette Piazza Europa, 6 Ardesio Via Locatelli, 8 Ponte Nossa Via Frua, 24 Rovellasca Via Volta, 1 Azzano San Paolo Piazza IV Novembre, 4 Ponte San Pietro Piazza SS Pietro e Paolo, 19 Provincia di Cremona Bariano Via A. Locatelli, 12 Ponteranica Via Pontesecco, 32 Cremona Via Dante, 241 Barzana Via San Rocco Pontida Via Lega Lombarda, 161 Soncino Via IV Novembre, 25 Berbenno Presezzo Via Capersegno, 28 Provincia di Lecco Via Stoppani, 88 Ranica Piazza Europa, 2 Lecco Corso Matteotti, 3 Piazza Roma, 2 Romano di Lombardia Via Tadini, 2 Calolziocorte Piazza Vittorio Veneto, 18/A Boltiere Piazza IV Novembre, 14 Rovetta Via Tosi, 13 Carenno Via Roma, 36 Bonate Sopra Piazza Vittorio Emanuele II, 20 San Giovanni Bianco Cernusco Lombardone Via S. Caterina, 4 Brembilla Via Libertà, 25 Via Martiri di Cantiglio, 19 Monte Marenzo Piazza Municipale, 5 Brignano Gera d’Adda Via Mons. Donini, 2 San Pellegrino Terme Via S. Carlo, 3 Olginate Via S. Agnese, 38 Calcinate Via Coclino, 8/C Sant’Omobono Terme Viale Alle Fonti, 8 Via Fatebenefratelli, 23 Calcio Via Papa Giovanni, 153 Sarnico Piazza Umberto I Valmadrera Calusco d’Adda Via Vittorio Emanuele, 7 Scanzorosciate Via Roma, 27 Provincia di Mantova Capriate San Gervasio Via Parigi, 4 Schilpario Via Torri, 8 Mantova Caravaggio Piazza G. Garibaldi, 1 Sedrina Via Roma, 14 Via Madonna dell’orto, 6 Carvico Via Europa Unita, 3 Selvino Via Monte Rosa - angolo Via Betulle Piazza de Gasperi, 20 Casazza Via Nazionale del Tonale, 92 Seriate Viale Italia, 24 Bagnolo San Vito Casirate d’Adda Piazza Papa Giovanni XXIII, 1 Sovere Via Roma, 36 Via di Vittorio, 35 (Fraz. San Biagio) Castione della Presolana Spirano Via Dante, 9/B Borgofranco sul Po Via Donizetti, 2 (Fraz. Bratto - Dorga) Stezzano Via Bergamo, 1 Via Martiri della Libertà, 64 Via A. Manzoni, 20 Suisio Via Carabello Poma, 31 Castiglione delle Stiviere Via Cavour, 25 Cazzano Sant’Andrea Via Cav. P. Radici, 23 Taleggio Via Roma, 63 (Fraz. Olda) Magnacavallo Via Roma, 23 Cenate Sopra Via Giovanni XXIII, 16 Tavernola Bergamasca Via Roma, 12 Moglia Piazza Libertà, 19 Cenate Sotto Via Verdi, 5 Telgate Via Morenghi, 17 Ostiglia Via Vittorio Veneto, 14 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Poggio Rusco Via Trento e Trieste, 9 Provincia di Pavia Via Roma, 85 Quistello Vigevano Via Sacchetti Strada Statale Varesina, 233 Via G. Marconi, 12 Voghera Via XX Settembre, 1 (c/o Novartis Italia Spa) Via Europa, 49 (Fraz. Nuvolato) Provincia di Varese Sesto Calende Via XX Settembre, 35 Solbiate Arno Via A. Agnelli, 7 Sermide Via Cesare Battisti, 4 Varese Somma Lombardo Villa Poma Piazza Mazzali, 7 Via Vittorio Veneto, 2 Corso della Repubblica - ang. Via Rebaglia Provincia di Milano Via Dalmazia, 63 Ternate Piazza Libertà, 14 Milano Piazza IV Novembre, 1 Tradate Via Manzoni, 7 Viale Luigi Borri, 155 Via XXV Aprile, 1 - angolo Corso Ing. Bernacchi Corso Europa, 16 Viale Borri, 237 (c/o Bassani Ticino Spa) Uboldo Via R. Sanzio, 46 (c/o Centrobanca Spa) Via Pasubio, 2 Varano Borghi Via Vittorio Veneto, 6 Piazzale Zavattari, 12 Via Caracciolo, 24 Vedano Olona Piazza S. Rocco, 8 Via Pellegrino Rossi, 26 Via Virgilio, 27 Venegono Inferiore Via Mauceri, 16 Via Melchiorre Gioia, 28 Abbiate Guazzone Via Vittorio Veneto, 77 Venegono Superiore Via Paolo Busti, 3 Piazza Cinque Giornate, 1 Azzate Via Vittorio Veneto, 23 Viggiù Via A. Castagna, 1 Piazza Siena, 18 Besozzo Via XXV Aprile, 77 Piazzale Susa, 2 Biumo Inferiore Piemonte Via Biondi, 1 Via Valle Venosta, 4 (c/o Ascom Varese) Provincia di Alessandria Via Foppa, 26 Bodio Lomnago Via Risorgimento, 23 Casale Monferrato Via Hugues, 1 Via Friuli, 16/18 Busto Arsizio Via C. Menotti, 21 - ang. Via G. Modena Piazza S. Giovanni, 3/A Provincia di Asti Viale delle Rimembranze di Lambrate, 4 Corso Italia, 33 Canelli Corso Libertà, 68 Viale L. Sturzo, 33/4 Via Magenta, 64 Provincia di Biella Via Saffi, 6/5 Viale Alfieri, 26 Biella Via Nazario Sauro, 2 Via C. Olivetti, 2 Cairate Cossato Via Pajetta, 11/B (c/o St Microelectronics Spa-Agrate Brianza) Via Mazzini, 13 Provincia di Cuneo Via Tolomeo, 1 Via Genova, 1 Cuneo Piazza Europa, 9 (c/o St Microelectronics Spa-Cornaredo) (Fraz. Bolladello) Alba Piazza Savona, 3/A Corso Italia, 22 Caravate Via XX Settembre, 22 Via Richard, 5 (c/o Nestlè Spa) Cardano al Campo Provincia di Novara Via A. Trivulzio, 6/8 Via Gerolamo da Cardano, 19 Novara Largo Don Minzoni, 1 Via Palestrina, 12 - ang. Viale A. Doria Caronno Pertusella Via Roma, 190 Borgomanero Via Garibaldi, 92/94 Abbiategrasso Piazza Cavour, 11 Casale Litta Via Roma, 4 Oleggio Via Mazzini, 15 Arluno Via Piave, 7 Casorate Sempione Via Milano, 17 Trecate Piazza Dolce, 10 Bellinzago Lombardo Via delle 4 Marie, 8 Cassano Magnago Via Aldo Moro, 10/B Provincia di Torino Carate Brianza Via Cusani, 49/51 Castiglione Olona Via Papa Celestino, 22 Torino Carnate Via Don Minzoni Cislago Via IV Novembre, 250 Corso Matteotti, 15 Cassano d’Adda Via Milano, 14 Clivio Via Ermizada, 10 Via Alfieri, 17 Cinisello Balsamo Piazza Soncino, 1 Cuvio Via Giuseppe Maggi, 20 Piazza Adriano, 5 Corso L. Einaudi, 15/17 Cornaredo Via Magenta, 34 Daverio Via Giovanni XXIII, 1 Piazza Gran Madre di Dio, 12/A Desio Via Matteotti, 10 Fagnano Olona Piazza Cavour, 11 Corso Sebastopoli, 166 Garbagnate Milanese Ferno Piazza Dante Alighieri, 7 Corso Trapani, 98 Via Kennedy, 2 (Fraz. S. M. Rossa) Gallarate Airasca Via Roma, 101 Grezzago Piazza Aldo Moro Via A. Manzoni, 12 Alpignano Via Cavour, 125 Inveruno Via Magenta, 1 Via Buonarroti, 20 Chianocco Frazione Vernetto, 10 Legnano Via Marsala, 34 Chivasso Via Po, 5 Corso Sempione angolo Via Toselli Via Varese, 7/A (Fraz. Cascinetta) Collegno Via XXIV Maggio, 1 Piazza Don Sturzo, 13 Gavirate Piazza della Libertà, 2 Moncalieri Strada Villastellone, 2 Magenta Piazza Vittorio Veneto, 11 Gazzada Schianno Via Roma, 47/B Nichelino Via Torino, 172 Meda Via Indipendenza, 111 Gerenzano Via G.P. Clerici, 124 None Via Roma, 23 Melzo Piazza Risorgimento, 2 Gorla Maggiore Via Verdi, 2 Pinerolo Piazza Vittorio Veneto, 20 Mezzago Via Concordia, 22 Gornate Olona Piazza Parrocchetti, 1 Rivoli Piazza Martiri della Libertà, 5 Monza Induno Olona Via G. Porro, 46 Rondissone Piazza Roma, 1 Via Borgazzi, 83 Ispra Via Mazzini, 59 Santena Via Cavour, 43 Piazza Giuseppe Cambiaghi, 1 Jerago con Orago Via Matteotti, 6 Settimo Torinese Via Petrarca, 9 Via San Rocco, 44 Lavena Ponte Tresa Via Valle, 4 Villar Perosa Via Nazionale, 39/A Nova Milanese Via Brodolini, 1 Laveno Mombello Via Labiena, 53 Novate Milanese Via Amendola, 9 Lonate Ceppino Via Don Albertario, 3 Lazio Rho Via Pace, 165 (Fraz. Mazzo Milanese) Lonate Pozzolo Piazza Mazzini, 2 Provincia di Roma Seregno Via S. Vitale, 17 Luino Via Vittorio Veneto, 6/A Roma Sesto San Giovanni Via Casiraghi, 167 Malnate Via dei Crociferi, 44 Solaro Via Mazzini, 66 Piazza Repubblica - angolo Via Garibaldi Via del Monte della Farina, 23 Sulbiate Via Mattavelli, 2 Marnate Via Diaz, 12 - angolo Via Genova Via S. Silverio, 57 Trezzano Rosa Via Raffaello Sanzio, 13/S Mercallo Via Prandoni, 19 Largo Salinari, 24 - ang. Via B. Croce 82/84 Trezzo sull’Adda Via A. Sala, 11 Mesenzana Via Provinciale, 11 Viale Gorizia, 34 Vaprio d’Adda Piazza Caduti, 2 Mornago Via Cellini, 3 - angolo Via Carugo Via di Porta Castello, 32 Vimercate Olgiate Olona Via G. Mazzini, 56 Via Val Maira, 125/131 Via B. Cremagnani, 20/A Origgio Via Repubblica, 10 Via Tiburtina, 604 Via Torri Bianche, 3 Saltrio Via Cavour, 27 Via dell’aeroporto, 14/16 Via Garibaldi, 12 Samarate Via N. Locarno, 19 (Fraz. Verghera) Roma Prati Fiscali Via Trento, 30 (c/o Alcatel - Lucent Spa) Saronno Via Pietro Boccanelli, 30 Via Monza, 33 Alcatel Italia Spa (Concorezzo) Via P. Micca, 10 (c/o Sviluppo Italia Spa - Campo Elba) WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Via Calabria, 46 (c/o Sviluppo Italia Spa) Via Orzinuovi, 9/11 Via Virgilio Montini, 251/ c Monterotondo Via Salaria, 204 Via San Rocchino, 106 Via M. D’Azeglio, 4 (Fraz. S. Sebastiano) Pomezia Via dei Castelli Romani, 22 Via Lamarmora, 230 Via N. Bixio, 2 (Fraz. Pieve) Via Cipro, 76 Mairano Piazza Europa, 1 Emilia Romagna Acquafredda Via della Repubblica, 52 Manerba del Garda Via Vittorio Gassman, 17/19 Provincia di Bologna Adro Via Roma, 1 Manerbio Bologna Bagnolo Mella Via XXVI Aprile, 69/71 Via XX Settembre, 21 Via Ercolani, 4/E Bagolino Via San Giorgio, 66 Via Cremona (c/o c. comm. Le Arcate) Via Lombardia, 7/A Barghe Via Boschi, 11/13 Marone Via Roma, 59 Bedizzole Zola Predosa Via Risorgimento, 109 Milzano Piazza Roma, 13 Via Trento, 3/5 Moniga del Garda Piazza San Martino Provincia di Ferrara Via Sonvigo, 13 Monte Isola Via Peschiera Maraglio, 156 Cento Via Ferrarese, 3 Borgosatollo Via IV Novembre, 140 Monticelli Brusati Via IV Novembre, 5/a Provincia di Modena Botticino Montichiari Carpi Via Baldassarre Peruzzi, 8/B Via Valverde, 1 Via Trieste, 71 Via Don Milani, 3 Via Felice Cavallotti, 25 Provincia di Reggio Emilia Bovegno Via Circonvallazione, 5 Nave Piazza Santa Maria Ausiliatrice, 19 Reggio Emilia Via Emilia all’Angelo, 35 Bovezzo Via Dante Alighieri, 8/D Nuvolento Via Trento, 17 Breno Via Giuseppe Mazzini, 72 Nuvolera Via Italia, 3/a Liguria Calcinato Via Guglielmo Marconi, 51 Odolo Via Praes, 13/bis Provincia di Genova Calvisano Via Dante Alighieri, 1 Offlaga Via Giuseppe Mazzini, 2 Genova Capriano del Colle Orzinuovi Piazza Vittorio Emanuele II, 1 Via Fieschi, 11 Via Morari, 26 Ospitaletto Piazza Leopardi, 6 Via Trento, 39 (Fraz. Fenili Belasi) Via Padana Superiore, 56 Via Merano, 1/A Nero Carpenedolo Piazza Martiri della Liberta’, 1 Via Rizzi, 8 Rapallo Via A. Diaz, 6 Castegnato Piazza Dante Alighieri, 1 Paderno Franciacorta Via Roma, 32 Castelcovati Via Alcide De Gasperi, 48 Palazzolo sull’Oglio Veneto Castel Mella Via Caduti del lavoro, 56/a Via XX Settembre, 22 Provincia di Verona Castenedolo Piazza Martiri della Liberta’, 4 Via Brescia, 1 Verona Castrezzato Piazza mons. Zammarchi, 1 Passirano Via Libertà, 36 Corte Farina, 4 Cedegolo Via Nazionale, 105 Pavone del Mella Piazza Umberto I, 1 Via Galvani, 7 Cellatica Via Padre Cesare Bertulli Pisogne Piazza Unberto I, 11 Caldiero Via Sandro Pertini, 12 Chiari Poncarale Via Fiume, 8/A Piazza Giuseppe Zanardelli, 7 Ponte di Legno Corso Milano, 34 Via Maffoni complesso S. Giacomo Pontevico Piazza Giuseppe Mazzini, 15 Collio Piazza Giuseppe Zanardelli, 32 Pralboino Via Martiri Libertà, 52 Comezzano - Cizzago Prevalle Piazza del Comune, 7 Via Giuseppe Zanardelli, 31 Quinzano d’Oglio Via C. Cavour, 29 - 31 www.bancodibrescia.it Remedello Via Roma, 60 Concesio Rezzato Via Europa, 203 LOMBARDIA Via IV Novembre, 98 Via Europa, 8 (c/o centro comm. Valtrumpino) Provincia di Brescia Via Zanardelli, 5a/b (Fraz. Virle Treponti) Darfo Boario Terme Via Roma, 2 Brescia Rivoltella del Garda Via G. di Vittorio, 17 Dello Piazza Roma, 36 Piazza della Loggia, 5 Rodengo Saiano Via Ponte Cigoli, 12 Desenzano del Garda Corso Magenta, 73 ang. Via Tosio Roè Volciano Via San Pietro, 119 Via G. Marconi, 10 Via Lecco, 1 Roncadelle Via G. Marconi, 97 Via Trento, 7 Via Martiri della Liberta’, 119/a Edolo Via G. Marconi, 36/a Via San Martino 2 - ang. C.so Zanardelli Via Guglielmo Marconi (c/o c.com. Auchan) Fiesse Via Antonio Gramsci, 25 Rovato Corso Bonomelli, 52/54 Contrada del Carmine, 67 Flero Via XXV aprile, 110 Sabbio Chiese Via XX Settembre, 83 Via Valle Camonica, 6/b Gardone Riviera Via Roma, 8 Sale Marasino Via Roma, 23/ Bis Via Santa Maria Crocifissa di Rosa, 67 Gardone Val Trompia Via G. Matteotti, 212 Salò Piazzale Spedali Civili, 1 Gargnano Piazza Feltrinelli, 26 Corso Martiri della Liberta’, 13 Via Pietro da Salò - Loc. Rive Gavardo Via Suor Rivetta, 1 Piazza Vittoria, 13 Via Trieste, 8 Ghedi Piazza Roma, 1 Piazza Vittorio Emanuele II, 20 Via Vittorio Veneto, 73 - ang. Tofane Gottolengo Piazza XX Settembre, 16 San Felice del Benaco Viale Italia, 9 Via San Giovanni Bosco, 15/c Gussago San Gervasio Bresciano Via Bettole, 1 - (Fraz. San Polo) Via IV Novembre, 112/a Piazza Antica Piazzola, 5 Via Cremona, 145 Via Richiedei, 61 San Paolo Piazza Aldo Moro, 9 Via della Chiesa, 72 Idro Via Trento, 60 Sarezzo Via Prima, 50 - Villaggio Badia Iseo Via Roma, 8 Piazzale Nava, 7 (Fraz. Mompiano) Via Dante Alighieri, 10 Via G. Carducci, 2 (Fraz. Ponte Zanano) Via Masaccio, 29 (Fraz. San Polo) Via Risorgimento, 51/c Seniga Via San Rocco, 15 Via Bissolati, 57 (Fraz. Clusane) Sirmione C.so Martiri della Liberta’, 45 Isorella Via A. Zanaboni, 2 Via Colombare - ang. Via G. Garibaldi Via Milano, 21/b Leno Piazza Castello, 58 Via Indipendenza, 43 Via Dossi, 2 Sulzano Via Cesare Battisti, 85 Via Solferino, 30/a Via Giuseppe Garibaldi, 2 Tavernole sul Mella Via IV Novembre, 40/42 Via Trento, 25/27 Limone del Garda Via Don Comboni, 24 Tignale Piazza Apollo, 11 Viale Duca d’Aosta, 19 Lograto Piazza Roma, 11 Torbole Casaglia Piazza Caduti, 8 Via Ambaraga,126 Lonato Via Guglielmo Marconi Toscolano Maderno Via Chiusure, 333/a Lumezzane Via Montana, 1 (Fraz. Maderno) Via Cefalonia, 76 Via Alcide De Gasperi, 91 Via Statale Toscolano, 114/a (Fraz. Maderno) WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Travagliato Piazza Libertà Monza Mira Via Nazionale, 193 Verolanuova Piazza Libertà, 1 Via F. Cavallotti, 136 Provincia di Treviso Vestone Via Perlasca, 5 Via F. Cavallotti, 27 Treviso Piazza Vittoria, 14 Villa Carcina Via G. Marconi, 39/C Novate Milanese Via G. di Vittorio, 22 Castelfranco Veneto Via Forche, 2 Visano Via Gugliemo Marconi, 11 Paderno Dugnano Conegliano Via XI Febbraio, 1 Vobarno Via Migliorni ang. Via San Rocco Via Erba, 36-38 Montebelluna Piazza Aldo Moro, 1 Zone Via Monte Guglielmo, 44 Via Tripoli, 3 Oderzo Via degli Alpini, 30/32 Resana Via Martiri della Libertà, 40/1 Provincia di Varese Paullo Piazza E. Berlinguer, 14 Varese Pioltello Via Mantegna, 35 Provincia di Padova Via Sanvito Silvestro, 60 Rho Viale Europa, 190 Padova Via N. Tommaseo ang. via Codalunga Via B. Luini, 3 Trezzano Rosa Piazza San Gottardo, 14 Camposampiero Piazza Castello, 43 Trezzo sull’Adda Via Bazzoni Via Veratti, 10 Ponte San Nicolo’ Via Padre M. Kolbe, 1/A Vimercate Via Giuseppe Mazzini, 72 Busto Arsizio Rubano Via C. Varotora, 1 (Fraz. Sarmeola) Corso Europa - ang. P.zza Venzaghi Provincia di Lecco Gallarate Lecco Piazza Alessandro Manzoni, 16 Trentino Alto Adige Via Raffaello Sanzio, 2 Merate Via Alessandro Manzoni, 56 Provincia di Trento Pieve di Bono Via Roma, 28 Via Torino, 28 Provincia di Cremona Storo Via Campini, 3/a (Fraz. Lodrone) Gemonio Via Giuseppe Verdi, 24 Cremona Saronno Via Giuseppe Garibaldi, 5 Viale Po, 33/35 Piemonte Sumirago Via Brioschi, 2 Piazza Risorgimento, 9 Provincia di Torino Tradate Via Antonio Cantore, 1 Via Mantova, 41 Torino C.so Inghilterra, 59/G ang. C.so Francia Uboldo Via Italia, 2 Casalmaggiore Via Porzio (ang.Via Nino Bixio) Venegono Superiore Piazza Monte Grappa, 8 Provincia di Como Liguria Provincia di Mantova Como Via Gallio - ang. Via Bossi Provincia di Genova Mantova Cantù Largo Adua, 11 Genova Via alla Porta degli Archi 2/4 r Via A. Calvi, 5 Lomazzo Via Monte Generoso, 11 V.le Risorgimento, 33 - ang. Valsesia Mariano Comense Viale Lombardia, 54-54/a Lazio Asola Viale della Vittoria, 17 Olgiate Comasco Via Roma, 75 Provincia di Viterbo Castel Goffredo Via Europa, 27 Viterbo Provincia di Bergamo Corso Italia, 36 Castiglione delle Stiviere Via C. Cavour, 57 Bergamo Marmirolo Via Ferrari, 66/d Via Saragat ang. Via Polidori Via Palma il Vecchio, 113 Via Monte San Valentino Provincia di Milano Via Tremana, 13 Via Carlo Cattaneo, 46/ F Milano Via Camozzi, 101 Via San Lorenzo, 56/58 Piazza XXIV Maggio, 7 Via Don Luigi Palazzolo, 89 Via Venezia Giulia, 20/22 Piazza XXV Aprile, 9 Via Borgo Palazzo, 93 Acquapendente Via del Rivo, 34 Via Antonio Rosmini, 17 Albano Sant’Alessandro Via Tonale, 29 Bassano in Teverina Via Cesare Battisti, 116 Via Ponchielli, 1 Alzano Lombardo Via Roma, 31 Bolsena Via Antonio Gramsci, 28 Via Giorgio Washington, 96 Brembate Sopra Via B. Locatelli ang. Via Sorte Bomarzo Piazza B. Buozzi, 5 Via Vincenzo Monti, 42 Cologno al Serio Via San Martino, 2 Canepina Via Giuseppe Mazzini, 61 Via Monte Rosa, 16 Grumello del Monte Via Roma, 63 Capodimonte Via Guglielmo Marconi, 84 Civita Castellana Via della Repubblica Via Mac Mahon, 19 Medolago Via Europa, 19/b Corchiano Borgo Umberto I, 54 Via Staro, 1 ang. Via Ronchi Seriate Via Paderno, 25 Fabrica di Roma Viale degli Eroi Via Caradosso, 16 Trescore Balneario Via Lorenzo Lotto, 6/a Treviolo Piazza Mons. Benedetti, 10 Gradoli Piazza Vittorio Emanuele II, 10 Via Silvio Pellico, 10/12 Marta Via Laertina, 35/39 Via G.B. Morgagni, 10 Montalto di Castro Piazza Sant’Agostino, 7 VENETO Via Aurelia Tarquinia, 5/7 Via Feltre, 30/32 Provincia di Verona P.za delle mimose, 13 (Fraz. Pescia Romana) Via Giovanni da Procida, 8 Verona Montefiascone Piazzale Roma Piazza Borromeo, 1 Largo Caldera, 13 Monterosi Via Roma, 36 Viale Monza, 139 Via XXIV Maggio, 16 Orte Via Le Piane Via Lomellina, 14 Via Albere, 18 Piansano Via Santa Lucia, 54 Via Lecco, 22 Via Murari Bra’, 12/b Ronciglione Corso Umberto I, 78 Corso Indipendenza, 5 Bussolengo Via Verona, 43 Soriano nel Cimino Piazza XX Settembre, 1/2 Tarquinia Piazzale Europa, 4 Viale Marche, 40 Caldiero Via Strà, 114-114/a Tuscania Via Tarquinia Via Porpora, 65 Isola della Scala Via Spaziani, 19 Monteforte d’Alpone Viale Europa, 30 Vasanello Piazza della Repubblica, 55/56 Largo Scalabrini, 1 Vetralla Peschiera del Garda Via Venezia, 4 Via Gaetano Negri, 4 Via Roma, 21/23 Via Bertolazzi, 20 (Zona Lambrate) Sant’Ambrogio Valpolicella Via Cassia, 261 (Fraz. Cura) Via A. Muratori, 26 Via Giacomo Matteotti, 2 Vignanello Via Vittorio Olivieri, 1/a Agrate Brianza Via Marco d’Agrate, 61 Sona Via XXVI Aprile, 19 (Fraz. Lugagnano) Vitorchiano Via Borgo Cavour, 10 Villafranca di Verona Via della Pace, 58 Biassono Via Cesana e Villa, 104 Provincia di Roma Bresso Via Vittorio Veneto, 92 Provincia di Vicenza Roma Cernusco sul Naviglio Via Monza, 15 Vicenza Via Ferdinando di Savoia, 8 Cologno Monzese Viale San Lazzaro, 179 Via Simone Martini, 5 Via Felice Cavallotti, 28 Via IV Novembre, 60 Piazza Eschilo, 67 Viale Lombardia, 52 Bassano del Grappa Viale San Pio IX , 85 Via Bevagna, 58/60 Corsico Via G. di Vittorio, 10 Montecchio Maggiore Via Madonnetta Largo Colli Albani, 28 Legnano Schio Via Battaglion Val Leogra, 6 Via Vittorio Veneto, 108/B - Via Emilia Corso Magenta, 127 - ang. Via Beccaria Provincia di Venezia Via Fabio Massimo, 15/17 Melegnano Viale Predabissi, 12 Venezia San Polo, 2033 Via Crescenzio Conte di Sabina, 23 Melzo Via Antonio Gramsci, 23 Mestre Piazza XXVII Ottobre, 29 Via Portuense, 718 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Via Fucini, 56 Via Olona, 11 Seregno Via Boccea, 211/221 Via Padova, 21 Via Medici da Seregno, 29/31 Via Camillo Sabatini, 165 Via Padova, 97 Corso Matteotti, 64 Via Val Pellice, 22 Via Pergolesi, 25 Sesto San Giovanni Viale Casiraghi, 40 Via Ugo Ojetti, 398 Viale Piave, 15 Settimo Milanese Piazza della Resistenza, 8 Via Aurelia, 701 - 709 Piazzale Piola, 8 Trezzano sul Naviglio Via A. Pollio, 50 (c/o c.comm. Casalbertone) Corso di Porta Romana, 63 Viale C. Colombo, 1 Corso di Porta Ticinese, 1 Viale Guglielmo Marconi, 3-5 Via Leonardo da Vinci, 1 Via Rosellini, 2 Piazza San Silvestro, 6 (c/o H3G Spa) Via Sanzio, 22 Piazza dei Tribuni, 58 Via Eugenio Pellini, 1 - ang. Via Cagliero Vedano al Lambro Largo della Repubblica, 7 Via Appio Claudio, 336 Via Secchi, 2 - ang. P.za S. Francesca Romana Provincia di Bergamo Provincia di Latina Via Vitruvio, 38 - Via Settembrini Bergamo Viale Vittorio Emanuele II, 2 Via Solari, 19 Latina Provincia di Brescia Via Solari, 3 Via Isonzo, 3 Brescia Via Vittorio Emanuele II, 60 Via della Stazione, 187 Via Spartaco, 12 Viale Corsica, 55 Provincia di Como FRIULI VENEZIA GIULIA Via Pindemonte, 2 Como Provincia di Udine Viale Romagna, 14 Via Cattaneo, 3 Via Tucidide, 56 (c/o Liquigas Spa) Udine Via F. di Toppo, 87 Via Aldo Moro, 46/48 Largo Zandonai, 3 Ampezzo Piazzale ai Caduti, 3 Casnate S.S. dei Giovi, 5 Arta Terme Via Roma, 2/c Arcore Via Casati, 45 Cermenate Via Matteotti, 29/31 Magnano in Riviera Piazza F. Urli, 40 Assago Milanofiori Erba Via Mazzini, 12 Majano Piazza Italia, 26 Palazzo Wtc Viale Milanofiori Lurate Caccivio Via Varesina, 88 Paularo Piazza Nascimbeni, 5 Binzago Via Conciliazione, 29 Olgiate Comasco Via Roma, 39 Bollate Via Giacomo Matteotti, 16 Prato Carnico Via Pieria, 91/d Provincia di Cremona Bresso Via Roma, 16 Sutrio Piazza XXII Luglio 1944, 13 Cremona Via Giordano, 9/21- ang. Via del Sale Tolmezzo Piazza XX Settembre, 2 Brugazzo Via IV Novembre, 80 Brugherio Via de Gasperi, 58/62/64 Provincia di Lecco Provincia di Pordenone Canegrate Via Manzoni, 48/A Lecco Via Amendola, 6 Pordenone Via Santa Caterina, 4 Cassina de' Pecchi Via Matteotti, 2/4 Bulciago Via Don Canali, 33/35 Fiume Veneto Via Piave, 1 (Fraz . Bannia) Cinisello Balsamo Via Libertà, 68 - P.za Turati Provincia di Lodi Prata di Pordenone Via Cesare Battisti, 1 Cologno Monzese Lodi Via Incoronata, 12 Via Indipendenza, 32 - ang. P.zza Castello Codogno Via Vittorio Emanuele, 35 EMILIA ROMAGNA Corbetta Corso Garibaldi, 14 Provincia di Parma Lodi Vecchio Piazza Vittorio Emanuele, 48 Cornaredo Piazza Libertà, 62 S. Angelo Lodigiano Piazza Libertà, 10 Parma Cornate d’Adda Via Emilia est, 17 Provincia di Mantova Via Circonvallazione, 10/12/14 Via Repubblica, 32 Mantova Via Bertani, 22/24 Via Silvio Pellico, 10 (Fraz. Colnago) Corsico Provincia di Pavia LUSSEMBURGO Via Cavour, 45 Pavia Boulevard du Prince Henri, 47 Viale Liberazione, 26/28 Via Montebello della Battaglia, 2

Garbagnate Milanese Via Milano, 110/112 Piazza Duomo, 13/14 Gorgonzola P.zza Cagnola Vicolo Corridoni Broni Piazza Vittorio Veneto, 52 Lainate Via Garzoli, 17 Casteggio Piazza Cavour, 27 Legnano Mortara Piazza Martiri della Libertà Corso Sempione, 221 Rosasco Via Roma, 4 www.bpci.it Via Novara, 8 Torrevecchia Pia Via Molino, 9 Limbiate Via dei Mille, 32 Vigevano LOMBARDIA Lissone Via Dante, 39 Provincia di Milano Via Cappuccina, 22 Via Madonna degli Angeli, 1 Milano Via San Carlo, 4 Corso Genova, 103 Via della Moscova, 33 Melzo Piazza Repubblica, 10 Via de Amicis, 5 Via Astesani, 16 Monza Via Salasco, 31 Provincia di Varese Via Manzoni, 22/30 Via Bocchetto, 13 Varese Via Carlo Rota, 50 Via Borgogna, 2/4 Piazza Battistero, 2 Viale G.B. Stucchi, 110 Via Buonarroti, 22 Viale Borri, 106 (c/o Roche Boehringer Spa) Via Boccaccio, 2 Via Griffi, 6 Via Canonica, 54 Opera Via Diaz, 2 Via S. Sanvito, 55 Viale Coni Zugna, 71 Paderno Dugnano Via Rotondi, 13/A Angera Via M. Greppi, 33 Corso Lodi, 111 Parabiago Via S. Maria, 22 Besozzo Via XXV Aprile, 24 Piazzale de Agostini, 8 Peschiera Borromeo Viale Liberazione, 41 Biandronno Piazza Cavour, snc Via Carlo Dolci, 1 Rho Bisuschio Via Mazzini, 28 Piazza Firenze, 14 Corso Europa, 209 Busto Arsizio Largo Gelsomini, 12 Via Meda, 47 Viale Cadorna, 4 - Via Cattaneo, 9 Via Gentilino, 4 Rozzano Via Foscolo, 10 Via G.B. Grassi, 89 Viale Lombardia, 17 Cantello Via Turconi, 1 Via Gian Galeazzo - ang. Via Aurispa Piazza Berlinguer, 6 (Fraz. Ponte Sesto) Cardano al Campo Via A. Gramsci, 89 Corso Indipendenza, 14 S. Giuliano Milanese Cassano Magnago Via Aldo Moro, 6 Via La Spezia, 1 Via Fratelli Cervi, 31 Castellanza Via Lomonaco, 15 - ang. Viale Lombardia Via Risorgimento, 3 Piazza Soldini (c/o Libero Istituto Corso Magenta, 87 - Porta Vercellina Via S. Pellico, 9 (Fraz. Sesto Ulteriano) Universitario Carlo Cattaneo) Viale Marche, 56 Segrate Piazza della Chiesa, 4 Castiglione Olona Via Cesare Battisti, 58 Piazzale Nigra, 1 Senago Piazza Matteotti, 10/A Castronno Via Roma, 51 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Cavaria con Premezzo Cossato Via Lamarmora, 9 Borghetto Borbera Via San Michele, 2 Via Scipione Ronchetti, 1318 Provincia di Novara Brignano - Frascata Via Roma, 44 Cittiglio Via Valcuvia, 19 Novara Corso della Vittoria, 1 Cabella Ligure Piazza della Vittoria, 7 Comerio Via al Lago, 2 Casale Monferrato Via Aurelio Saffi, 73 Arona Corso Liberazione, 39 Cunardo Via Luinese, 1/A Casalnoceto Piazza Martiri della Libertà, 10 Borgomanero P.za Martiri della Libertà, 21/23/25 Cuveglio Via Battaglia di S. Martino, 50 Castelnuovo Scrivia Via Solferino, 11 Gallarate Provincia di Torino Garbagna Via Roma, 21 Piazzale Europa, 2 Torino Via Buozzi, 10 Isola Sant’Antonio Via Verdi, 1 Provincia di Verbania Piazza del Peso ang. Via C. Cavour Gavirate Via IV Novembre, 21 Verbania Piazza Matteotti, 18 (Fraz. Intra) Monleale Corso Roma, 41/43 Germignaga Piazza XX Settembre, 51 Cannobio Via Umberto I, 2 Novi Ligure Corso Marenco, 141 Ponte Tresa Piazza A. Gramsci, 8 Ghiffa Corso Belvedere, 153 Pontecurone Piazza Giacomo Matteotti, 5 Laveno Mombello Via Labiena, 81 Pozzolo Formigaro Via Roma, 31 Leggiuno Via Bernardoni, 9 Provincia di Vercelli Rocchetta Ligure Piazza Regina Margherita Lonate Pozzolo Via Cavour, 1 Borgosesia Via Duca d’Aosta, 21 Sale Piazza Giuseppe Garibaldi, 8 Luino Sarezzano Piazza L. Sarzano, 4 Via Piero Chiara, 7 LAZIO Silvano d’Orba Via Cesare Battisti, 32 Via Forlanini, 6 Provincia di Roma Stazzano Via Fossati, 2/a Maccagno Viale Garibaldi, 13 Roma Tortona Marchirolo Piazza L. Borasio, 12 Corso Vittorio Emanuele II, 25/27 Piazza Duomo, 13 Monvalle Piazza Marconi, 1 Via Baldovinetti, 92/94 Corso Don Orione, 46 Porto Ceresio Via Roma, 2 Via Boccea 51, a/b/c Via Emilia, 422, Piazzetta Voghera Porto Valtravaglia Piazza Imbarcadero, 17 Viale dei Colli Portuensi, 298/302 Strada Prov. per Pozzolo, 22 Saronno Via F.S. Nitti, 73/75/77 Corso della Repubblica, 2/d Piazza Borella, 4 Via Norcia, 1/3 Via Sacro Cuore (centro comm. Oasi) Via San Giuseppe, 29 Via Guidubaldo del Monte, 13/15 Valenza Sesto Calende Piazza Cesare Abba, 1 Viale delle Provincie, 34/46 Via Lega Lombarda ang. Via Cavallotti Tradate Corso Bernacchi, 95 Viale Regina Margherita, 196/198/200 Vignole Borbera Via Alessandro Manzoni, 8 Travedona Monate Via Roma, 1 - ang. Via Nizza Villalvernia Via Carbone, 69 Viale Trastevere, 22 Villaromagnano Via della Chiesa EMILIA ROMAGNA Via Sestio Calvino, 57 Provincia di Asti Provincia di Bologna Via Tiburtina, 544/546 - ang. Via Galla Placidia Asti C.so Vittorio Alfieri, 137 Bologna Largo Trionfale, 11/12/13/14 Nizza Monferrato Piazza G. Garibaldi, 70 Viale della Repubblica, 25/31 Via Cerveteri, 30 Provincia di Cuneo Via Murri, 77 Piazza Vescovio, 3 - 3/a - 3/b Cuneo Piazza Malpighi, 16 - ang. Via Poggio Moiano, 1 Piazza Europa, 1 Imola Piazza Caduti, 5/6 Via dei Castani,133 Via Luigi Gallo, 1 San Giovanni in Persiceto Via delle Azzorre, 288 (Fraz. Ostia) Via Roma, 13/b Corso Italia, 137/139 Via della Battaglia, 15 San Lazzaro di Savena Via Emilia, 208/210 VENETO Corso Nizza, 57/a Provincia di Modena Provincia di Padova C.so Antonio Gramsci, 1 Modena Noventa Padovana Via Savona, 8 ang. Via Bisalta Viale Trento e Trieste - ang. Via Emilia Est Via Giovanni XXIII, 2 - ang. Via Risorgimento Via A. Carle, 2 - Fraz. Confreria P.zale Repubbilca - Fraz. Castagnaretta Carpi Via Peruzzi, 6 - ang. Via Manicardi Provincia di Verona Formigine Via Grazia Deledda, 26 Via Michele Coppino, 16 Verona Via Margarita, 8 Sassuolo Viale Crispi, 24 Piazza Simoni, 14 (c/o c.comm. Auchan Tetto Garetto) Provincia di Parma Via Caserma Ospital Vecchio, 4/c Alba Parma Via Teobaldo Calissano, 9 Via San Leonardo, 4 TOSCANA Viale Giovanni Vico, 5 Via della Repubblica, 6 Provincia di Firenze C.so Piave, 74 Langhirano Via Roma, 25 - Via Ferrari, 17 Firenze Corso dei Tintori, 10/12/14/16R C.so Langhe, 66/B - Borgo Moretta Provincia di Piacenza Corso Cavour ang. Via Cerrato SICILIA Piacenza Via G. Garibaldi, 180 (Fraz. Gallo d'Alba) Provincia di Palermo Strada Guarene, 2/1 (Fraz. Mussotto) Via Verdi, 48 Palermo Via Notarbartolo, 6 Bagnasco Via Roma, 3 Piazzale Velleia, 1 Bagnolo Piemonte Provincia di Reggio Emilia Via Cavalieri di Vittorio Veneto, 12 Reggio Emilia Barbaresco Via Torino 16 V.le Monte Grappa, 4/1 - ang. V.le dei Mille Barge Viale Giuseppe Mazzini, 1 Correggio Via Asioli, 7/A Barolo Via Roma, 53 Rubiera Viale della Resistenza, 7/A www.brebanca.it Bastia Mondovì Piazza IV Novembre, 3 Beinette Via Vittorio Veneto, 4 PIEMONTE valle d'aosta Bernezzo Via Roma, 15 (Fraz. S.Rocco) Provincia di Alessandria Aosta Via Xavier de Maistre, 8 Borgo San Dalmazzo Casale Monferrato Piazza San Francesco, 10 Piazza Liberazione, 8-10 Valenza Via Dante, 68 piemonte Via Po, 41/43 Provincia di Alessandria Bossolasco Corso Dellavalle, 29 Provincia di Asti Alessandria Boves Piazza dell’Olmo, 2 Piazza 1° Maggio, 8 - ang. Via Rossi Asti Via Dante ang. Via C. Lamarmora Bra Provincia di Biella P.zza G. Marconi angolo Via Merula Via Giuseppe Verdi, 10 Biella Via XX Settembre, 10 Arquata Scrivia Via Libarna, 56 Via Don Orione, 85 (Fraz. Bandito) WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Brossasco Via Roma, 11/a Racconigi Piazza Roma, 8 Codogno Via Roma, 11 Busca Piazza Savoia, 9 Revello Via Saluzzo, 80 Provincia di Mantova Canale Via Roma, 72 Rifreddo Piazza della Vittoria, 4 Mantova Caraglio Piazza Madre Teresa, 8 Robilante Via Umberto I, 22 Viale Divisione Acqui, 14 Carrù P.za V. Veneto, 2 Roccavione Piazza Biagioni, 27 Piazza Guglielmo Marconi, 7 - ang. Via Benevagienna Rodello Piazza Vittorio Emanuele II Casteldelfino Via Circonvallazione, 5 Rossana Piazza Vittorio Emanuele II Provincia di Milano Milano Castelletto Stura Via Guglielmo Marconi, 6 Saliceto Piazza C. Giusta, 1 Via Bignami, 1 Castellinaldo Via Roma, 56 Saluzzo Corso Italia, 57 Via Macedonio Melloni, 52 Sampeyre Via Vittorio Emanuele II, 22 Castiglione Tinella Via Circonvallazione, 12 Via della Commenda, 12 San Damiano Macra Via Mazzini, 1 Castino Via XX Settembre, 1 Corso Porta Nuova, 23 San Michele Mondovì Via Nielli, 15/a Centallo Piazza Vittorio Emanuele II, 17 Via Francesco Sforza, 28 Sanfront Corso Guglielmo Marconi, 14 Ceva P.zza Vittorio Emanuele II, 3 Piazza Ospedale Maggiore, 3 Santo Stefano Belbo Corso Piave, 82 Cherasco Via Vittorio Emanuele II, 34 Via Pio II, 3 Savigliano Piazza Schiapparelli, 10 Chiusa di Pesio Via Roma, 5 Via Castelvetro, 32 Scarnafigi Piazza Vittorio Emanuele II, 14 Corneliano d'Alba Piazza Cottolengo, 42 Via Trivulzio, 15 Sommariva del Bosco Cortemilia Piazza Castello, 1 Corso Italia, 17 Via Donatori del Sangue, 11/b Costigliole Saluzzo Via Vittorio Veneto, 94 Via Lomellina, 50 Tarantasca Via Carletto Michelis, 3 Via Pisanello, 2 Cravanzana Via XX Settembre, 1 Torre San Giorgio Corso Lodi, 78 Crissolo Via Umberto I, 39 Piazza Guglielmo Marconi, 10 Piazza Gasparri, 4 Demonte Via Martiri e Caduti della Libertà, 1 Valdieri C.so Caduti in Guerra, 13 Dogliani Via Castellero, 6 Via Panizzi, 15 Valgrana Via Caraglio, 9 Via dei Missaglia - angolo Via Boifava Dronero Verduno Piazza Canonica Pietro Borgna, 3 Viale Monza, 325 Piazza San Sebastiano, 7 Vernante Piazza de l’Ala, 4 Corso Cristoforo Colombo, 10 Viale della Stazione, 10 Verzuolo Piazza Martiri della Libertà, 13 P.zza Santa Francesca Romana, 3 Entracque Via della Resistenza, 5 Vicoforte Via di Gariboggio, 43 Via Meda, angolo Via Brunacci, 13 Farigliano Piazza San Giovanni, 7 Villafalletto Via Vittorio Veneto, 24 Largo d’Ancona, 1 Fossano Via Roma, 3 Villanova Mondovì Via Roma, 33/a Corso XXII Marzo, 22 Frabosa Soprana Vinadio Via Roma, 11 Via Fabio Filzi, 23 Piazza Guglielmo Marconi, 1 Provincia di Novara Via Ampère, 15 Via IV Novembre, 30 Novara Piazzale Lagosta, 6 Frabosa Sottana Largo Don Luigi Minzoni, 5 Via Padova, 175 Via Galassia, 61 (Fraz. Prato Nevoso) Via Canobio, 10 Viale Certosa, 94 Gaiola Via Barale, 16 Gozzano Via XXV Aprile, 127-129 Viale Certosa, 138 Garessio Corso Statuto, 15 Romentino Via dei Conti Caccia, 1 Via Monte di Pietà, 7 Via G.B. Grassi, 74 (c/o Ospedale Luigi Sacco) Genola Via Roma, 32 Provincia di Vercelli Abbiategrasso Piazza Camillo Golgi, 26 Govone Piazza Vittorio Emanuele II, 9 Vercelli Piazza Cavour, 23 Carugate Via Toscana, 10 La Morra Via Umberto I, 28 Borgosesia Via Sesone, 36 Lagnasco Via Roma, 30 Cinisello Balsamo Viale Umbria, 4 Provincia di Torino Melegnano Via Cesare Battisti, 37/a Lesegno Via Roma, 23 Torino Monza Piazza Duomo, 5 Limone Piemonte Via Roma, 62 Corso Dante, 55 Pregnana Milanese Via Roma, 46 Magliano Alfieri Corso Vittorio Emanuele II, 107 Rozzano Via Torino, 85 Via IV Novembre, 54/a - Fraz. S. Antonio Corso Vercelli, 81 Trezzo sull’Adda Piazza Libertà, 1 Magliano Alpi Via Langhe, 158 Corso Unione Sovietica, 503 Vimodrone Strada Padana Superiore, 287 Mango Piazza XX Settembre, 6 Via Gobetti, 1/a Vittuone Via Villoresi, 67 Monastero Vasco Via Variante, 3 Piazza Gran Madre di Dio, 2 Provincia di Varese Monchiero Via Borgonuovo, B/15-1 Via Madama Cristina, 30 ang. Lombroso Varese Mondovì Bibiana Via C. Cavour, 25 Via Magenta, 3 Piazza G. Mellano, 6 Bricherasio Piazza Castelvecchio, 17 Viale Luigi Borri, 146 Corso Europa, 23 Pinerolo Via Savoia - ang. Via Trieste Viale Milano, 20 Piazza Maggiore, 8 Rivoli Via Rombò, 25/e Induno Olona Via Porro, 28 Piazzale Ellero, 20 Laveno Mombello Via Labiena, 89 Monesiglio Via Roma, 4 LOMBARDIA Vedano Olona Via Maestra, 17 Monforte d'Alba Via Giuseppe Garibaldi, 4 Provincia di Bergamo Montà Piazza Vittorio Veneto, 31 Bergamo Provincia di Pavia Montanera Via G. Marconi, 6 Via Brigata Lupi, 2 Pavia Monticello d'Alba Largo Rezzara - Piazza Pontida, 3 Corso Strada Nuova, 61/c Viale Matteotti, 63 P.za Martiri della Libertà, 2 - Fraz. Borgo Provincia di Brescia (c/o Casa di Riposo Pertusati) Moretta Via Torino, 73/bis Brescia Piazza della Loggia, 3 Via dei Mille, 7 Morozzo Via Guglielmo Marconi, 78 Provincia di Como Viale Ludovico il Moro, 51/b Murazzano Via L. Bruno, 6 Como Viale Giulio Cesare, 26/28 Via Taramelli, 20 Murello Via Caduti Murellesi, 39 Via Pavesi, 2 Narzole Via Pace, 2 Provincia di Cremona Cremona Corso Alessandro Manzoni, 17 Neive Piazza della Libertà, 2 Piazzale Gaffurio, 9 Neviglie Via Umberto I snc Piazza Stradivari, 19 Via Mantova, 137 Via San Pietro in Verzolo, 4 Niella Belbo Piazza Mercato, 12/b Castelleone Via Roma, 69 Via Ferrata, 1 (c/o Università) Paesana Via Po, 41 Crema Viale Repubblica, 79 Albuzzano Via Giuseppe Mazzini, 92/94 Pagno Via Roma, 1 Soncino Via Largo Manzella Belgioioso Via Ugo Dozzio, 15 Peveragno Piazza P. Toselli, 1 Borgarello Via Principale, 3 Piasco Piazza Martiri della Liberazione, 7 Provincia di Lecco Brallo di Pregola Piazza Principale Piobesi d'Alba Piazza San Pietro, 12 Lecco Via Resinelli, 2 Casei Gerola Piazza Meardi, 9 Pradleves Via IV Novembre, 108 Provincia di Lodi Casorate Primo Priocca Via Umberto I, 65 Lodi Via Fissiraga, 18/20 Via S. Agostino, 1 ang. P.zza Contardi WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Cassolnovo Via Lavatelli, 16/20 Chiaravalle Via della Repubblica, 83 Appignano Via Borgo S. Croce Casteggio Viale Giuseppe Maria Giulietti, 10 Cupramontana Piazza Cavour, 11 Camerino Piazza Caio Mario, 5 Garlasco Corso C. Cavour, 55 Fabriano Castelraimondo Piazza della Repubblica, s.n.c. Giussago Via Roma, 38 Piazza Miliani, 16 Civitanova Marche Godiasco Piazza Mercato, 19 Via Martiri della Libertà, 46 Corso Umberto I, 16 Landriano Via Milano, 40 Via Corsi, 3 Via Silvio Pellico, 143 (Fraz. S. M. Apparente) Linarolo Via Felice Cavallotti, 5 Falconara Corridonia Piazzale della Vittoria, 1 Magherno Via Roma, 255 Via IV Novembre, 8 Loro Piceno Piazzale G. Leopardi, 8 Marcignago Via Umberto I, 46 Via Flaminia, 396 (Fraz. Palombina Vecchia) Matelica Viale Martiri della Libertà, 31 Montebello della Battaglia Jesi Monte San Giusto Via Verdi, 11 Piazza Carlo Barbieri “Ciro”, 1 Corso Matteotti, 1 Monte San Martino Via Roma, 32 Mortara Piazza Silvabella, 33 Via San Giuseppe, 38 Pollenza - Casette Verdini Via V. Cento, 6 Pinarolo Po Via Agostino Depretis, 84 Piazza Ricci, 4 Porto Recanati Piazza del Borgo, s.n.c. Portalbera Via Mazzini, 1 Piazza Vesalio, 5 Potenza Picena Robbio Piazza Libertà, 8 Via Gallodoro, 73 Piazza Douhet, 23 Salice Terme Viale delle Terme, 44 Via Leone XIII (c/o New Holland Fiat Spa) Via Marefoschi, 1 San Martino Siccomario Via Roma, 23 Jesi Zipa Viale dell’Industria, 5 Recanati Via Cesare Battisti, 20 Sannazzaro de’ Burgondi Viale Libertà 3/5 Loreto Via Bramante San Ginesio Piazza Gentili, 31 Siziano Via Roma, 22 Maiolati Spontini San Severino Marche Viale Europa Stradella Via Trento, 85 Via Risorgimento, 52 (Fraz. Moie) Sarnano Piazza della Libertà, 76 Travacò Siccomario Piazzale Europa, 1 Montemarciano Tolentino Piazza dell’Unità Valle Lomellina Piazza Corte Granda, 4 Piazza Magellano, 15 (Fraz. Marina) Provincia di Pesaro–Urbino Varzi Via Pietro Mazza, 52 Monterado Pesaro Vigevano Via 8 Marzo, 7 (Fraz. Ponte Rio) Piazzale Garibaldi, 22 Via Decembrio, 27 Morro d'Alba Via Morganti, 56 Strada Statale Adriatica, 18 Piazza Alessandro Volta, 7 Numana Piazza del Santuario, 22 Vistarino Via Vivente, 27/a Via Antonio Fratti, 23 Offagna Via dell’Arengo, 38 Voghera Urbino Osimo Via Giacomo Matteotti, 33 Viale Comandino Piazza del Comune, 4 Via Sant’Ambrogio, 17 Borgo Mercantale, 24 Via Marco Polo, 15 Acqualagna Via Flaminia, 79 Via Ticino, 1 (Fraz. Padiglione) Carpegna Via R. Sanzio, 12 EMilia Romagna Ostra Pianello Via Arceviese, 55 Colbordolo - Morciola Via Nazionale, 143 Provincia di Parma Rosora Via Roma, 132 (Fraz. Angeli) Fano Parma Via Tanara, 20/c Santa Maria Nuova Via C. Pisacane, 2 Colorno Via San Rocco, 34 Via Risorgimento, 68 (Fraz. Collina) Via dell’Abbazia, s.n.c. Fidenza Piazza G. Garibaldi, 41 Sassoferrato Piazza Bartolo, 17 Fossombrone Provincia di Piacenza Senigallia Piazza Dante, 24 Piacenza Corso 2 Giugno, 76 Via delle Mura, 11 (Fraz. Isola di Fano) Via Sopramuro, 15 Via R. Sanzio, 288 Lunano Corso Roma, 79 Via Manfredi, 7 c/o centro commerciale “Il Maestrale” Via Cristoforo Colombo, 19 (Fraz. Cesano) Macerata Feltria Via Antini, 22 Caorso Via Roma, 12 Serra de' Conti Piazza Leopardi, 2 Montecopiolo Via Montefeltresca, 37 (Fraz. Villagrande) Carpaneto Piacentino Via G. Rossi, 42 Provincia di Ascoli Piceno Gragnano Trebbiense Via Roma, 52 Montelabbate Ascoli Piceno Ponte dell’Olio Via Vittorio Veneto, 75 Via Provinciale, 169 (Fraz. Osteria Nuova) Viale Indipendenza, 42 San Nicolò a Trebbia Novafeltria Via D. Angelini, 118 Via Emilia Est, 48 (Fraz. Rottofreno) Piazza Vittorio Emanuele, 1 Castel di Lama Via Salaria, 356 Piazza Cappelli, 1 (Fraz. Secchiano) Falerone Pennabilli FRANCIA Piazza della Concordia, 4 Nizza Avenue de Suède, 5 Via Marecchiese, 76/B (Fraz. Ponte Messa) Viale della Resistenza, 168 Y (Fraz. Piane) Piobbico Via Roma, 10/12 Mentone Avenue de Verdun, 21 Fermo San Leo Via Montefeltro, 24 Contrada Campiglione, 20 Sant’Agata Feltria Via Dante Zeppilli, 56 Via Vittorio Emanuele II, 1 Grottammare Via Montegrappa, 12 Sant’Angelo in Vado Via Rimembranze, 31 Massa Fermana Via Ada Natali, 5 Sassofeltrio Via Risorgimento, 9 (Fraz. Fratte) Montappone Piazza Roma, 3 Urbania Via Roma, 24 Monte Urano Via Papa Giovanni XXIII, 37 Montegranaro Via Fermana Nord www.bpa.it EMILIA ROMAGNA Petritoli Contrada S. Antonio, 217 Provincia di Forlì - Cesena MARCHE Porto S. Giorgio Via Tasso Porto Sant’Elpidio Via Mazzini, 115 Forlì Provincia di Ancona Via Lazzaretto, 11/19 Ancona San Benedetto del Tronto Piazza Matteotti, 6 Viale Vittorio Veneto, 7C/7D Corso Stamira, 14 Cesena Via Piave, 27 Piazza Carlo e Nello Rosselli Piazza Setti Carraro (Fraz. Porto d’Ascoli) Sant’Elpidio a Mare Viale Roma, 1 Cesenatico Viale Roma, 55 Viale C. Colombo, 56 Forlimpopoli Viale Giacomo Matteotti, 37 Via Brecce Bianche, 68/I Provincia di Macerata Via della Loggia, 3 - ang. Via degli Aranci Macerata Provincia di Ravenna Via Trieste, 59 B Viale Don Bosco Ravenna Piazza Baracca, 22 Via Umani Corso Cavour, 34 Cervia Via G. di Vittorio, 39 Agugliano Contrada Gavone, 2/B Piazza Cesare Battisti, 8 Provincia di Rimini Belvedere Ostrense Via Brutti, 7 Via Bramante, 103 (Fraz. Piediripa) Rimini Castelfidardo Via C. Battisti, 5 Macerata - Passo Treia Corso Garibaldi, 110 Via Caduti di Marzabotto, 6 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Via Flaminia, 175 Forio d’Ischia Corso F. Regine, 24/25 Magione Via Gambalunga, 73 Grumo Nevano Via Cirillo, 78 Via della Palazzetta (località Bacanella) Via Luigi Poletti, 28 Ischia Porto Via A. de Luca, 113/115 Marsciano Via dei Partigiani, 12 Bellaria - Igea Marina Via Uso, s.n.c. Melito Via Roma, 33/43 Massa Martana Via Roma, 42 Cattolica Via Fiume, 37 Monte di Procida Corso Garibaldi, 20/22 Montecastello di Vibio Misano Adriatico Viale Repubblica, 67 Nola Piazza Michelotta di Biordo, 10 Riccione Viale Ceccarini, 207 Via San Massimo, 15 Todi Santarcangelo di Romagna Via Braschi, 36 Piazza Giordano Bruno, 26/27 Piazza del Popolo, 27 Pozzuoli Via Tiberina, 64 CAMPANIA Corso Vittorio Emanuele, 60 Via Tiberina, 194 (Fraz. Pantalla) Provincia di Avellino Via Domiziana Provincia di Terni Avellino (c/o Accademia Aeronautica) Terni Corso del Popolo, 13 Via due Principati, 32 Qualiano Via S. Maria a cubito, 146 Acquasparta Via Cesare Battisti, 5/D Via Dante Alighieri, 20/24 Quarto Via Campana, 286 Avigliano Umbro Corso Roma - ang. Via S. Maria Montoro Inferiore Via Nazionale, 161/167 San Giuseppe Vesuviano Via Astalonga, 1 Provincia di Benevento Sant’Antimo Via Cardinale Verde, 31 ABRUZZO Benevento Terzigno Via Diaz, 69 Provincia di Chieti Via Delcogliano, 29 Torre del Greco Atessa Piazzano Via Piazzano, 70 Piazza Risorgimento, 11 Corso Vittorio Emanuele, 77-79 Francavilla al Mare Via della Rinascita, 2 Buonalbergo Viale Resistenza, 3 Volla Via Rossi, 94/100 Guardiagrele Via Orientale, 17 Sangiorgio la Molara Via S. Ignazio, 7/9 Lanciano Viale Rimembranze, 16 LAZIO Telese Viale Minieri, 143 Sant’Eusanio del Sangro Corso Margherita Provincia di Roma San Giovanni Teatino Provincia di Caserta Roma Via Aldo Moro, 8 Caserta Scuola Sottuff. Aeron. Milit. Via Nazionale, 256 (Fraz. Sambuceto) Via Douhet, 2/A Viale Buozzi, 78 Vasto Via Giulio Cesare, 5 Alvignano Corso Umberto I, 287 Via Croce, 10 Aversa Via Salvo D’Acquisto Via Cipro, 4/A Provincia di Pescara Marcianise Via Gasperina, 248 Pescara Via Michelangelo, 2 Strada Statale Sannitica, 87 Via Milano, 32/F Via Latina, 14 Strada Provinciale 22 (Oromare) Piazza Mignanelli, 4 Via Nazionale Adriatica Nord, 126 Piedimonte Matese Via Cesare Battisti Via L. di Breme, 80 Viale Marconi, 21 Pietramelara Piazza S. Rocco, 18 Via Prenestina Polenze, 145 Viale Marconi, 263 Pietravairano Via Enrico Ortolani, s.n.c. Via Padre Cipriani Caruso, s.n.c. Albano Laziale Via Marconi, 7 Provincia di Teramo Pignataro Maggiore Via Trento Fonte Nuova Via Nomentana, 68 Teramo Piazza Garibaldi, 143 Santa Maria Capua Vetere Guidonia Montecelio Alba Adriatica Via Mazzini, 124 Via Pezzella Parco Valentino Piazza Colleverde Giulianova Via Orsini, 28 Succivo Via De Nicola - angolo Via Tinto Via Nazionale Tiburtina, 122 Roseto degli Abruzzi Via Nazionale, 286 Teano Viale Italia S.S. Tiburtina Km. 18,300 Vairano Patenora - Vairano Scalo Via Roma, 26 MOLISE Via della Libertà, 10 Piazza B. Buozzi, 10 Provincia di Campobasso Via delle Rimembranze, 56 Lanuvio Piazza Carlo Fontana, 2 Campobasso Via Umberto I Vitulazio Via Rimembranze, 37 Marcellina Via Regina Elena, 35/C Bojano Corso Amatuzio, 86 Provincia di Napoli Marino Piazzale degli Eroi, 4 Larino Via Jovine, 12 Napoli Palombara Sabina Via Ungheria, 7 Termoli Via Abruzzi Corso Amedeo di Savoia, 222 San Gregorio da Sassola Largo E. Tomei, 3 Provincia di Isernia Via Mergellina, 33/34 San Polo dei Cavalieri Via Roma, 12 Isernia Via Dante Alighieri, 25 Via Dell’Epomeo, 427/431 Tivoli Venafro Via Campania, 69 Via Schipa, 101/103 Piazza S. Croce, 15 Via Cesario Console, 3C Via di Villa Adriana Via Crispi, 2 - ang. Piazza Amedeo Provincia di Frosinone Piazza Vittoria, 7 Frosinone Via Maria, 63 Galleria Vanvitelli, 42 UMBRIA www.carime.it Piazza del Gesù Nuovo, 31 Provincia di Perugia Via Santa Brigida, 36 Perugia CALABRIA Via Santa Brigida, 62/63 Via dei Filosofi, 36 Provincia di Catanzaro Via Santo Strato, 20/D Via Settevalli, 133 Catanzaro Piazza Garibaldi, 127 Via Deruta Piazza Indipendenza, 44 Via Salvator Rosa, 254/B - 255 (Fraz. San Martino in Campo) Corso Mazzini, 177/179 Via Nazario Sauro, 17 - Lido Via Caravaggio, 52 Via P. Soriano, 3 Via F. Massara, 2 Via Giovanni Manna, 11 (Fraz. Sant’Andrea delle Fratte) Chiaravalle Centrale Piazza Dante, 8 Via Acton, 1 (c/o Marina Militare) Bastia Umbra Città della Scienza - Via Coroglio, 156 Girifalco Via Milano Via Roma, 25 - angolo Via de Gasperi Guardavalle Via Giordano, 4 Afragola Corso Garibaldi, 38 Città di Castello Corso Cavour, 5/7/9 Lamezia Terme Bacoli Baia Via Lucullo, 32 Collazzone Piazza Umberto I, 10 Corso Nicotera, 135 Boscoreale Via Papa Giovanni XXIII, 16 Deruta Via Tiberina, 184/186 Via del Mare Cardito Piazza S. Croce, 71 Foligno Viale Arcamone Nocera Terinese Casalnuovo di Napoli Fossato di Vico Via Santa Caterina, 126/130 Via Arcora Provinciale, 60 Largo St. Ambroix (Fraz. Osteria del Gatto) Sersale Via A. Greco Casamicciola Terme Piazza Marina, 29 Giano dell'Umbria Soverato Corso Umberto I, 167/169 Cercola Via Domenico Ricciardi, 284/286 Via Roma, 63 (Fraz. Bastardo) Soveria Mannelli Piazza Dei Mille, 2 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Squillace Vico Generale Pepe Cutro Via Nazionale Via Tridente, 40/42 Tiriolo Via Fratelli Bandiera Petilia Policastro Via Arringa Via M. Cristina di Savoia, 6/12 Provincia di Cosenza Strongoli Corso Biagio Miraglia, 115 Via Calefati, 112 Cosenza Provincia di Reggio Calabria Acquaviva delle Fonti Via Caloprese Reggio Calabria Piazza Garibaldi, 49/52 Via XXIV Maggio, 45 Corso Garibaldi, 144 Adelfia Via G. Marconi, 11/A Corso Mazzini, 117 Viale Calabria, 197/199 Altamura Via Maggio 1648, 22/B-22/C Via F. Migliori (c/o Ospedale) Via argine destro Annunziata, 81 Andria Piazza Marconi, 6/10 Via degli Stadi, 57/D2 Bagnara Calabra Barletta Via dei Mille Corso Vittorio Emanuele II, 167 Piazza Caduti, 21 Corso Telesio, 1 Bianco Via Vittoria, 52 Largo delle Palme, 8 Acri Via Padula, 95 Bova Marina Via Maggiore Pugliatti, 2 Bisceglie Piazza S. Giovanni Bosco, 4/5 Aiello Calabro Via Luigi de Seta, 66/68 Bovalino Via XXIV Maggio - ang. V. Sicilia Bitetto Piazza Immacolata, 22/24 Altomonte Via Aldo Moro, 34 Brancaleone Via Zelante Bitonto Piazza della Noce, 14 Amantea Via Elisabetta Noto, 1/3 Cinquefrondi Via Roma, 24 Bitritto Piazza Aldo Moro, 35 Aprigliano Via Calvelli, 5 Cittanova Via Roma, 44 Canosa di Puglia Via Imbriani, 30/34 Capurso Via Torricelli, 23/25 Belvedere Marittimo - Marina Via G. Grossi, 71 Delianuova Via Umberto I, 277 Casamassima Corso Umberto I, 48 Bisignano Via Simone da Bisignano Gioia Tauro Via Roma, 52 - ang. Via Duomo Castellana Grotte Piazza della Repubblica, 2 Camigliatello Silano Via del Turismo, 77 Gioiosa Ionica Piazza Vittorio Veneto, 8/9 Corato V.le V. Veneto 160/166 Cariati Via S. Giovanni, 6 Laureana di Borrello Via IV Novembre, 9 - ang. Via Lega Lombarda Carolei Via Rendano, 13 Locri Via Garibaldi, 71 Cassano allo Jonio Corso Garibaldi, 30 Mammola Via Zavaglia, 33 Gioia del Colle Corso Garibaldi, 55 Castrovillari Corso Garibaldi, 79/83 Marina di Gioiosa Ionica Giovinazzo Via G. Gentile, 1 Cetraro - Marina Via Lucibello, 10/14 Via Carlo Maria, 12/14 Gravina in Puglia Corso Vittorio Emanuele, 1 Corigliano Calabro - Scalo Melito di Porto Salvo Via Papa Giovanni XXIII Grumo Appula Via G. d’Erasmo, 12 Via Nazionale, 101/103 Molochio Piazza Umberto I, 1 Modugno Piazza Garibaldi, 109 Mola di Bari Piazza degli Eroi, 31 Corigliano Calabro Via Barnaba Abenante, 7 Monasterace Marina Molfetta Via Tenente Fiorini, 9 Diamante Via Vittorio Emanuele, 77 Via Nazionale Jonica, 113/114 Monopoli Via Marsala, 2 Francavilla Marittima Via Provinciale, 1/3 Palmi Via Roma, 44 Noci Largo Garibaldi, 51 Fuscaldo Via Maggiore Vaccari, 14 Polistena Piazza Bellavista, 1 Noicattaro Corso Roma, 8/10/12 Grimaldi Via IV Novembre, 29 Rizziconi Via Capitolo, 13 Polignano a Mare Piazza Aldo Moro, 1 Lago Via P. Mazzotti, 10/12/14 Roccella Jonica Via XXV Aprile, 16 Putignano Via Tripoli, 98 Longobucco Via C. Colombo, 107 Rosarno Corso Garibaldi, 28 Rutigliano Piazza XX Settembre, 8 Lungro Via Skanderberg, 86 Saline di Montebello Jonico Ruvo di Puglia Via Monsignor Bruni, 14 Luzzi Viale delle Rimembranze, 39 Via Nazionale, 111 Sannicandro di Bari Piazza IV Novembre, 15 Mirto Crosia Via Nazionale, 74/80 San Ferdinando Via Rosarno - ang. Via Bruno Sant’Eufemia d’Aspromonte Santeramo in Colle Via S. Lucia, 78 Montalto Uffugo Via Maggiore Cutrì, 10/A Terlizzi Via Gorizia, 86/D Corso Garibaldi, 25 Seminara Via Taureana, 21 Toritto Piazza Aldo Moro, 48 Via Manzoni, 57 (Fraz. Taverna) Siderno C.so Garibaldi Trani Corso Italia, 17/B Morano Calabro Via Porto Alegre, 10 Stilo Viale Roma Triggiano Via Carroccio, 5 Mormanno Via San Biase, 1 Taurianova Piazza Garibaldi, 17 Turi Via A. Orlandi, 15 Paola Via del Cannone, 34 Villa S. Giovanni Piazza Rosario, 43/47 Valenzano Via Aldo Moro Praia a Mare Via Telesio, 2 Rende Piazza degli Eroi, 7 Provincia di Vibo Valentia Provincia di Brindisi Rende - Quattromiglia Via A. Volta, 15 Vibo Valentia Brindisi Corso Roma, 39 Rende - Roges Viale Kennedy, 59/E Viale Matteotti 23/25 Ceglie Messapica Via Argentieri, 136 Rocca Imperiale Marina Via Taranto, 15 Via Emilia, 8 Cisternino Via Roma, 57 Roggiano Gravina Corso Umberto, 13 Corso Vittorio Emanuele III Erchie Via Grassi, 19 Rogliano Via Guarascia, 31 Arena Piazza General Pagano, 1 Fasano Rossano Via G. Rizzo, 14 Briatico Via Guido Rossa, 14/B Via Forcella, 66 Rossano - Scalo Via Nazionale, 9/15 Mileto Via Cattolica, 50/B-C Via Nazionale, 45 San Demetrio Corone Via D. Alighieri, 10 Nicotera Via Luigi Razza, 1 (Fraz. Pezze di Greco) San Giovanni in Fiore Via Gramsci Pizzo Calabro Via Marconi, 2 Francavilla Fontana Via Roma, 24 San Lucido Via Regina Elena, 64/72 Rombiolo Piazza Italia Latiano Via Ercole d’Ippolito, 25 San Marco Argentano Serra San Bruno Via de Gasperi, 52 Mesagne Via Torre S. Susanna, 1 Via Duca degli Abruzzi, 56 Soriano Calabro Via Giardinieri Montalbano di Fasano Via Teano, 37 San Sosti Via Verdi, 24 Tropea Viale Stazione Oria Via Mario Pagano, 151 Saracena Via G. la Pira, 128/130 PUGLIA Ostuni Via L. Tamborrino, 2 San Pietro Vernotico Via Stazione, 31 Scalea Via M. Bianchi, 2 Provincia di Bari Spezzano Albanese Bari San Vito dei Normanni Piazza Vittoria, 13 Piazza della Repubblica, 5/1 Piazza Umberto I, 85 Torre Santa Susanna Via Roma, 38 Spezzano della Sila Via Roma Via Napoli, 53/55 Provincia di Foggia Terranova da Sibari Via Vico II Margherita Via Bari, 27 Foggia Torano Castello Via Toma, 12 Viale Ofanto, 198/C Strada Provinciale Variante, 4 Viale Pio XII, 46-46/A Via S. Pellico, 33-37 Trebisacce Via Lutri, 146 Viale de Blasio, 18 Celenza Valfortore Piazza Marconi, 12 Provincia di Crotone Corso Italia, 123 Cerignola Via di Vittorio, 83 Crotone Via Pescara, 16/24 Ischitella Corso Umberto I, 111/113 Via Mario Nicoletta, 32 Via Lembo, 13/15 Lucera Via IV Novembre, 77 Via Cutro Via Melo, 151 Manfredonia Corso Roma, 22/24 Cirò Marina Via Mazzini, 17/19 Corso Mazzini, 138/B Margherita di Savoia Cotronei Via Laghi Silani, 40 Via Dalmazia, 223 Corso Vittorio Emanuele, 23 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Monteleone di Puglia Piazza Municipio, 19 San Mauro Forte Corso Umberto, 12 Teggiano San Ferdinando di Puglia Tricarico Via Lucana, 20/24 Via Provinciale del Corticato, Via Papa Giovanni XXIII, 44 Tursi Via Eraclea, 2 Loc. Pantano San Giovanni Rotondo Piazza Europa Vallo della Lucania Via G. Murat Provincia di Potenza San Severo Potenza Via Carso, 10 Via Alianelli, 2 Corso Garibaldi, 87 Via Angilla Vecchia, 5 Sant’Agata di Puglia Piazza XX Settembre, 11 Via Dante, 16/20 Stornarella Corso Garibaldi, 22 Via del Gallitello www.bancavalle.it Troia Via Puoti, 1 Avigliano Viale della Vittoria, 4 Vico del Gargano Via S. Filippo Neri, 10 Brienza Viale della Stazione, 102 LOMBARDIA Zapponeta Corso Manfredonia, 20 Francavilla in Sinni Piazza M. Mainieri, 6/10 Provincia di Bergamo Genzano di Lucania Ardesio Piazza Alessandro Volta, 8/9 Provincia di Lecce Corso Vittorio Emanuele, 180/184 Casazza Piazza della Pieve, 1 Lecce Lagonegro Via Colombo, 25 Clusone Viale Gusmini, 47 Viale Lo Re, 48 Latronico Corso Vittorio Emanuele II, 105 Costa Volpino Via Cesare Battisti, 34 Via Gabriele D’Annunzio, 47/B Lauria Piazza Plebiscito, 72 Lovere Via Gregorini, 43 Campi Salentina Via Amedeo di Savoia, 59 Lavello Via Roma, 33 Rogno Piazza Druso, 1 Carmiano Via Marini, 10 Maratea Via Pietra del Sole, 3A/5 Sarnico Via Roma, 68 Casarano Via F. Bottazzi - ang. Via Alto Adige Melfi Piazza Mancini Abele Sovere Via Roma, 20 Copertino Via Re Galantuomo, 24 Moliterno Via Roma Villongo Via J. F. Kennedy, 5 Galatone Viale XXIV Maggio, 32/34 Muro Lucano Via Roma, 60/62 Provincia di Brescia Gallipoli Corso Roma, 42/44 Palazzo San Gervasio Via Isonzo, 14 Brescia Paterno di Lucania Piazza Autonomia, 3/4 Maglie Piazza O. de Donno Via Duca degli Abruzzi, 175 Rionero in Vulture Via Galliano Viale Bornata, 2 Nardò Via Duca Degli Abruzzi, 58 Rivello Via Monastero, 73 Angolo Terme Piazza degli alpini, 4 Ruffano Piazza IV Novembre, 11 Rotonda Via dei Rotondesi in Argentina, s.n.c. Artogne Via Geroni, 12 Squinzano Via Nuova, 25 San Fele Via Costa, 12 Berzo Demo Via San Zenone, 9 Trepuzzi Corso Umberto I, 114 Sant’Arcangelo Viale Isabella Morra, 48 Berzo inferiore Piazza Umberto I, 35/A Tricase Via G. Toma, 30 Senise Via Amendola, 33/39 Bienno Piazza Liberazione, 2 Veglie Largo Parco Rimembranze, 30 Tito Scalo Borno Piazza Umberto I, 13 Breno Piazza della Repubblica, 1/2 Provincia di Taranto Contrada Serra Villaggio Mancusi,72 Venosa Via Fortunato, 66 angolo Via Melfi Capodiponte Viale Stazione, 16 Taranto Villa d’Agri Via Nazionale, 1 Cazzago S.M. Corso Umberto I, 71 Via del Gallo, 2 (Fraz. Bornato) (Agenzia centrale e Filiale n.3) Campania Cedegolo Via Roma, 26/28 Corso Italia, 202 Provincia di Salerno Ceto Loc. Badetto, 23 Cevo Via Roma, 44 Via C. Battisti, 172 Salerno Cividate Camuno Via Cortiglione Castellaneta Piazza Municipio, 7 Via S. Margherita, 36 Coccaglio Largo torre Romana, 4 Fragagnano Via Garibaldi, 14 Viale Kennedy, 11/13 Corte Franca Via Roma, 78 Ginosa Corso Vittorio Emanuele, 92 Via G. Cuomo 29 Corteno Golgi Via Roma, 1 Grottaglie Via Matteotti, 72/78 Agropoli Via Risorgimento Darfo Boario Terme Laterza Piazzale Saragat, 11 Amalfi Via Fra’ Gerardo Sasso, 10/12 Via Roma, 12 Lizzano Via Dante, 78 Angri Corso Vittorio Emanuele, 126/132 Viale della Repubblica, 2 Atena Lucana Via Stazione Manduria Via per Maruggio, 9 Edolo Via Porro, 51 Baronissi Corso Garibaldi, 195 Martina Franca Via D’Annunzio, 34 Esine Piazza Giuseppe Garibaldi, 4/6 Battipaglia Via Salvator Rosa, 98 Gianico Via XXV Aprile, 7/9 Massafra Corso Italia, 27/29 Buccino Piazza San Vito Malegno Via Lanico, 36 Palagianello Via Carducci, 11 Buonabitacolo Via Nazionale, 178 Malonno Via G. Ferraglio, 4 San Giorgio Jonico Via Cadorna, 11 Campagna Marone Via Cristini, 49 Sava Corso Umberto, 110 Via Quadrivio Basso Palazzolo sull'Oglio Corso Umberto, 135 Via Firenze, 88-90 (Fraz. San Pancrazio) BASILICATA Capaccio Via E. Codiglione, 26 Piancogno Provincia di Matera Castel San Giorgio Via Guerrasio, 42 Via Vittorio Veneto, 7 Via XI Febbraio, 1 (Fraz. Pianborno) Matera Cava dei Tirreni Piazza Duomo, 2 Pian Camuno Piazza Giuseppe Verdi, 8 Via del Corso, 66 Corbara Via Ten. Lignola Eboli Via Amendola, 86 Pisogne Via Provinciale, 6 (Fraz. Gratacasolo) Via Annunziatella, 64/68 Filetta di San Cipriano Picentino Ponte di Legno Via Cima Cadi, 5/7/9 Via Dante - ang. Via dei Bizantini Provaglio d’Iseo Via Roma, 12 Via S. Giovanni, 10 Rodengo Saiano Via Guglielmo Marconi, 11/b Bernalda Corso Umberto, 260 Marina di Camerota Via Bolivar, 54 Rovato Corso Bonomelli, 74/80 Ferrandina Corso Vittorio Emanuele II Mercato San Severino Temù Via Roma, 71/73 Irsina Corso Musacchio, 2/4 Corso Armando Diaz, 130 Torbole Casaglia Piazza Repubblica, 25/26 Metaponto Via Eroi della Bonifica (Filiali n.1 e n.2) Travagliato Via Andrea Mai, 5 Montalbano Jonico Piazza Vittoria, 3 Minori Via Vittorio Emanuele, 9 Vezza d’Oglio Via Nazionale, 65 Montescaglioso Via Indipendenza, 83 Nocera Inferiore Via Barbarulo, 41 Provincia di Como Pisticci Pontecagnano Piazza Risorgimento, 14 Dongo Via Statale, 77 Via M. Pagano, 25 Roccapiemonte Piazza Zanardelli, 1 San Giovanni a Piro Via Nazionale, 93 Via Portella delle Ginestre Provincia di Sondrio Sant’Egidio del Monte Albino Sondrio Via Lungo Mallero Diaz, 34/b (Fraz. Marconia) Via SS Martiri, 13 Aprica Corso Roma, 238 Policoro Via G. Fortunato, 2 Sapri Via Marsala, 44 Bormio Via Don Peccedi, 11 Pomarico Corso Garibaldi, 3 Sarno Via Matteotti, 72/74 Chiavenna Via Maloggia, 1 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f Grosio Via Roma, 1 CAMPANIA Livigno Via Dala Gesa, 141/a Napoli Morbegno Piazza Caduti per la Libertà, 9 Via Enrico Alvino, 50-50bis Piantedo Via Nazionale, 875 Via Taddeo da Sessa - Torre Saverio Tirano Via Alessandro Manzoni, 22 Castellammare di Stabia Corso Vittorio Emanuele II, 108/110 www.centrobanca.it

Pomigliano d’Arco Via Roma, 31 Caserta Corso Trieste, 170 Napoli Via S. Brigida, 51 Salerno Via SS. Martiri Salernitani, 42/46 Bologna Piazza Calderini, 2/2 www.bancodisangiorgio.it Roma Via dei Crociferi, 44 Milano Corso Europa, 16 EMILIA ROMAGNA Jesi Via Don Battistoni, 4 TOSCANA Bologna Via Giuseppe Mazzini, 146/Q Torino Via Alfieri, 17 Provincia di Massa - Carrara Parma Via Pier Maria Rossi, 2 Bari Via De Rossi, 221 Carrara Via Galileo Galilei, 32 LIGURIA LIGURIA Provincia di Genova Genova Genova Via Roma, 5 Via C.R. Ceccardi, 13/r Via XX Settembre, 33 Corso Torino, 61/r Via Pastorino, 118 - Loc. Bolzaneto www.bdg.ch Via Sestri, 188/190r LAZIO Piazza G. Lerda, 10/R - loc. Voltri Roma Via Cinque Maggio, 101/R Via Baldovinetti, 106/110 SVIZZERA Via C. Rolando, 123 (Sampierdarena) Via Anicio Gallo, 91 e/i Losanna Avenue du Théâtre, 14 Via Antonio Gramsci, 8/r P.zza Giuliano della Rovere, 9-11/a Lugano Piazza Riforma, 3 Via Marina di Robilant, 5 (Fraz. Lido di Ostia) Mendrisio Via Franscini, 6 Faubourg de l’Hôpital, 21 Borzonasca Via Angelo Grilli, 15 Via Vincenzo Bellini, 27 Neuchâtel Chiavari Corso Dante Alighieri, 36 Frosinone Via Fedele Calvosa, 27/29 Cicagna Via Statale, 8 angolo Via Dante, 1 Latina Viale Le Courbusier, snc Lavagna Corso Buenos Aires, 84 Rieti Via Molino della Salce Mezzanego Via Capitan Gandolfo, 138 (c/o c. comm. Futura) Rapallo Via Alessandro Lamarmora, 4 Santo Stefano d’Aveto Via Razzetti, 11 LOMBARDIA Sestri Levante Via Fascie, 70 Milano www.banca247.it Provincia di Imperia Piazza Giovine Italia, 3 Imperia Corso Giacomo Matteotti, 1 Bergamo Via Moretti, 11 (sede operativa) Viale Giacomo Matteotti, 13 Brescia Via Repubblica Argentina, 90 Via Giacomo Puccini, 7 Monza Via Girolamo Borgazzi, 7 Bordighera Via Treviso,1 ang. Via V. Emanuele II Varese Via Avegno, 11 Sanremo Via Roma, 54/60 Taggia Via Boselli, 62 (Fraz. Arma) MARCHE Ventimiglia Macerata Via Roma, 78/80 Via Ruffini, 8/a Via Roma, 64/b Pesaro Via Bertozzini, 13 www.iwbank.it Provincia di La Spezia PIEMONTE La Spezia Via Nazionale, 169 Milano Torino Corso Re Umberto I, 47 Corso Europa, 20 Provincia di Savona Via Cavriana, 20 Savona Piazza Aurelio Saffi, 1 ang. Via Cavour PUGLIA Corso Vittorio Veneto, 93 Bari Via Nicolo’ dell’Arca, 9-9a Albenga Foggia Via Salvatore Tugini, 70/74 Via Cesare Battisti, 4 Via Dalmazia, 43 SARDEGNA Albisola Superiore Corso Giuseppe Mazzini, 189 www.ubibanca.lu Andora Piazza Santa Maria, 7 Cagliari Viale Bonaria, 58 Cairo Montenotte Germania Corso Marconi, 240 TOSCANA Monaco Prannerstrasse, 11 (Fraz. S. Giuseppe) Firenze Via Bettino Ricasoli, 21 Celle Ligure Via Boagno, 12 Arezzo Via XXV Aprile, 28-28/a Loano Via Stella, 34 spagna San Giovanni Valdarno Corso Italia, 117 Vado Ligure Via Aurelia, 148 Madrid Grosseto Via Giacomo Matteotti, 32 Torre Espacio - Planta 45 Livorno Viale della Libertà, 47/49 Paseo de la Castellana, 259 Pisa Via G.B. Niccolini, 8/10

UMBRIA Perugia Via Settevalli, 131/F www.ubibancapi.it Terni Via della Bardesca, 7/11

ABRUZZO VENETO L’Aquila Via Giuseppe Verdi, 21 a/c Pescara Piazza Rinascita, 6/9 Mestre Via Rosa, 23 WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

WorldReginfo - 2f6dc225-2fba-40dc-86e1-77126a6d836f

Calendar of corporate events for 2008

In accordance with the provisions of the “Rules of the markets organised and managed by Borsa Italiana S.p.A”, Part 2, Title 2.6, Article 2.6.2, Unione di Banche Italiane Scpa has published its calendar of corporate events for the 2008 financial year, as follows:

Date Event

Management Board: approval of the Quarterly 11th November 2008 Report of UBI Banca as at and for the period ended 30th September 2008

The dates of meetings and/or presentations to financial analysts will be communicated with appropriate advance notice.

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Contacts

All information on periodical financial reporting is available on the website www.ubi.it.

Investor Relations: Tel. 035-392217 Email: [email protected]

External communication: Tel. 030-2433591; Cell. 335-8268310 email: [email protected]

Shareholders Office: Tel. 035-392155; email: [email protected]

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