Global Custody Business

LLOYDS TSB GROUP PLC
26 July 1999

LLOYDS TSB WITHDRAWS FROM GLOBAL CUSTODY BUSINESS

Lloyds TSB Group announced today that it is to withdraw from the global
custody and unit trust trusteeship business offered through Lloyds TSB
Securities Services and will recommend that its 430 customers transfer their
institutional custodial and trustee arrangements to State Street Bank and
Trust Company - a wholly owned subsidiary of State Street Corporation.

Lloyds TSB Securities Services has £140 billion assets under custodial
management. Special facilities have been arranged with State Street Bank and
Trust Company for an orderly migration of business phased over a number of
months. In addition, State Street Bank and Trust Company will be the preferred
provider of custody, trustee and administration services for the Lloyds TSB
Group's proprietary business.

The net assets to be acquired by State Street Bank and Trust Company are less
than £0.5 million and the financial effects of the closure and transfer of
business are not expected to be significant in a Lloyds TSB Group context. 

Ken Farquhar, managing director of Lloyds TSB Securities Services, said:
'After long consideration the Lloyds TSB Group has decided to withdraw from
the global custody business. One of the Group's strategic aims is to be a
leader in its chosen markets. Lloyds TSB Securities Services is a relatively
small player in the international global custody business whereas State Street
Bank and Trust Company has $5,300 billion of assets under custody. Size is
particularly important in this business to cover the substantial on-going
investment needed in systems development.'


For further information:

Lloyds TSB Group
Press Office
Tel: [phone]