GFBital to acq 100% of AAD

HSBC Holdings PLC
14 August 2003


           GFBITAL TO ACQUIRE 100 PER CENT OF AFORE ALLIANZ DRESDNER

Grupo Financiero Bital, S.A. de C.V. ('GFBital'), a subsidiary of HSBC Holdings
plc, has reached an agreement in principle to acquire 100 per cent of the shares
of AFORE Allianz Dresdner, S.A. de C.V. ('AAD'), currently controlled by the
Allianz Group, for US$200 million.

AAD is a pension fund management company in Mexico with 1.25 million customers
and MXN11,000 million (US$1,050 million) in funds under management.

Sandy Flockhart, Group General Manager and CEO for HSBC in Mexico, said: "This
acquisition is an excellent opportunity for GFBital to develop a significant
pension fund management business in Mexico. AAD's position in the market and the
experience of its staff, together with our distribution network and customer
base, will allow us to quickly build profitable market share in this business."

Dr Joachim Faber, member of the board of management of Allianz, responsible for
Allianz Dresdner Asset Management, said: "In Mexico we were able to build a
successful business, but going forward the synergies within Allianz Dresdner
Asset Management are less obvious. On a stand-alone basis the business is too
small. With its banking and distribution networks GFBital can integrate and
leverage AFORE Allianz Dresdner. Given the ongoing consolidation process in this
industry it is the right time for this transaction."

The transaction, which is subject to regulatory approvals, is expected to
complete in the third quarter of 2003.

Notes to editors:

1. Allianz

Allianz is one of the leading financial services providers with insurance,
banking and asset management segments. With gross premiums written of €82.6
billion in the business year 2002 Allianz was one of the leading insurance
companies.

2. GFBital

GFBital is one of the five largest banking and financial services institutions
in Mexico, with some 1,400 branches, 4,000 ATMs, and over 17,000 employees.

3. HSBC Holdings plc

With over 9,500 offices in 79 countries and territories, and assets of US$983
billion at 30 June 2003, the HSBC Group is one of the world's largest banking
and financial services organisations.


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