SABB 2006 Interim Dividend

HSBC Holdings PLC
04 July 2006


The following is a translation of a news release issued by The Saudi British
Bank, a 40 per cent indirectly-held associate of HSBC Holdings plc.

              THE SAUDI BRITISH BANK DISTRIBUTES SAR609.4 MILLION
                 AS INTERIM DIVIDEND FOR THE FIRST HALF OF 2006
                                        
The Chairman of The Saudi British Bank (SABB), Sheikh Abdullah Bin Mohammed
Al-Hugail, has announced that the bank's Board of Directors has approved the
distribution of a net interim dividend of SAR1.5 per share (after deduction of
Zakat) subject to obtaining official approvals from local regulatory
authorities. This will result in a total gross interim dividend payment of
SAR609.4 million before deduction of Zakat, representing an increase of 15.9 per
cent over the same period last year.

Dividends will be credited on 23 July 2006 to shareholders with accounts linked
to their investment portfolios and who are on the bank's share registry on 15
July 2006, who maintain accounts with SABB and whose details are available at
the share registry.

Shareholders who have share certificates which have not been deposited in
investment portfolios should contact the Saudi Share Registration Company with
proof of their investment portfolio numbers before 15 July 2006, to enable the
bank to transfer the dividends to their accounts.

Al-Hugail commented that the Board's decision to approve the dividend
distribution is in line with the bank's aim to consistently reward its
shareholders.

The HSBC Group
The Saudi British Bank is a 40 per cent, indirectly-held associate of HSBC
Holdings plc, and a member of the HSBC Group. Serving over 125 million customers
worldwide, the HSBC Group has over 9,500 offices in 76 countries and territories
in Europe, the Asia-Pacific region, the Americas, the Middle East and Africa.
With assets of US$1,502 billion at 31 December 2005, HSBC is one of the world's
largest banking and financial services organisations. HSBC is marketed worldwide
as 'the world's local bank'.





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