Re Agreement

Banco Bilbao Vizcaya Argentaria SA
3 June 2002


                BBVA BANCO FRANCES CAPITALISES DEBTS FOR 209.3 
                              MILLION DOLLARS

> The operation does not involve the additional injection of cash by BBVA nor 
  will it have any repercussions on the parent company, as the debt provisions 
  are fully allocated.

BBVA Banco Frances has reached an agreement with the Argentine authorities to
undertake a rights issue for which BBVA will contribute the capitalisation of
209.3 million dollars corresponding to subordinated negotiable bonds in the
possession of BBVA for a sum of 130 million dollars, and of a financial loan
from BBVA for a further 79.3 million dollars.

This capitalisation operation does not involve the additional injection of funds
on the part of BBVA, nor will it have any repercussions on the parent company,
as full provision has been made for both debts on the balance sheet.

Authorisation from the Bank of Spain is a compulsory prerequisite for the
subscription on the part of BBVA of this rights issue. This operation will
improve capital and solvency ratios at a local level.




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