Re: HSBC Canadian Direct Ins

HSBC Holdings PLC
04 May 2004

                  CANADIAN WESTERN BANK COMPLETES ACQUISITION
                       OF HSBC CANADIAN DIRECT INSURANCE

Canadian Western Bank today completed its acquisition of HSBC Canadian Direct
Insurance Incorporated (Canadian Direct) from HSBC Bank Canada.

This follows the announcement on 2 March 2004 that HSBC Bank Canada would be
selling its shares in Canadian Direct to Canadian Western Bank for a cash
payment of C$25.4 million.

Canadian Direct, which has now been renamed Canadian Direct Insurance
Incorporated, is a direct property and casualty insurer operating in British
Columbia and Alberta.

Notes to editors:

1. Canadian Direct Insurance

Canadian Direct commenced operations in British Columbia in 1996, offering auto
insurance directly to customers through a customer-focused, technologically
advanced call centre. Operations were soon expanded to include home insurance
and in 1999, a second call centre was opened in Alberta to serve that market.
Canadian Direct maintains a leading claims loss ratio and is very proud of its
excellent customer satisfaction rating. For more information about its
operations see Canadian Direct's website at www.canadiandirect.com.


2. HSBC Bank Canada

HSBC Bank Canada (HSB.PR.A - TSX), a subsidiary of HSBC Holdings plc, is the
leading international bank in Canada with more than 160 offices across the
country. With over 9,500 offices in 79 countries and territories and assets of
US$1,034 billion at 31 December 2003, the HSBC Group is one of the world's
largest banking and financial services organisations. For more information about
HSBC Bank Canada and its products and services, visit www.hsbc.ca.


3. Canadian Western Bank

Canadian Western Bank offers highly personalised service through its 27 branch
locations and is the largest Schedule I chartered bank headquartered in and
regionally focused on Western Canada. The bank, which has total assets of over
C$4.4 billion, specialises in mid-market commercial lending and offers a full
range of retail services. Trust services to independent financial advisors,
corporations and individuals are also provided through the bank's subsidiary,
Canadian Western Trust. The common shares and convertible debentures of Canadian
Western Bank are listed on the Toronto Stock Exchange under the respective
trading symbols of 'CWB' and 'CWB.DB.A'. For more information see the bank's
website at www.cwbank.com.



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