Eureko B.V. 3 Months Results

Banco Comercial Portugues S.A.
22 May 2002


 
(Lisbon, May 22, 2002) On behalf and at request of our participated company 
Eureko B.V., and given its relevance to Banco Comercial Portugues (BCP, NYSE: 
BPC, BCPPRA), we herein announce the company 1st Quarter results:


      Eureko B.V. announces results for the three months to 31 March 2002

'Eureko B.V. announced its unaudited results for the three-month period ending 
31 March 2002.' 

Highlights:

•  Operating Companies' contribution up 45.8% at EUR 61.4 million

•  Consolidated Net Income of EUR 80.2 million, down 5.2%(1) from the same 
   period in 2001

•  Operating profit of EUR 104.4 million (2001: EUR 112.9 million)

•  Total Gross Written Premiums reached EUR 2,260.2 million, an increase of 
   10.9% from 2001

•  Life Gross Written Premiums up 13.5% at EUR 1,129.5 million

•  Non-Life Gross Written Premiums up 9.5% at EUR 565.7 million

•  Health Gross Written Premiums up 7.1% at EUR 565 million

•  Total Assets under Management at EUR 109.1 billion, down 2.9% from 31 
   December 2001

•  Banking customer funds up 6.5% at EUR 6,652.4 million from 31 December 2001

•  ROE of 13.7% (2001:10.7%)

Main developments in the first quartet of 2002:

•   In Poland, the agreement reached in the last quarter of 2001 
    (the 2nd addendum), by which Eureko would acquire an incremental stake of 
    21% in PZU by direct sale, was revoked by the Polish Government. Discussions 
    are under way to set a new timing for PZU's IPO, at which Eureko has the 
    right to acquire a 21% stake.


(1)  Eureko posted a profit of EUR 102.6 million in the first three months of 
     2001, which included a EUR 18 million profit from PZU Zycie SA reported to 
     the year 2000


Arnold Hoevenaars, Chief Executive Officer of Eureko, commented:

'The results of the Eureko Group in the first quarter of 2002 reflect a clear 
recovery of the profitability of our operations.

'Both our Operating Companies and our Associated companies registered strong 
growth in their contribution to the Group results, at EUR 61.4 million and 
EUR 21.4 million, respectively. 

All our Operating Companies reported profits. Conversely, we have experienced a 
decrease of Other Results (inclusive of the Holding company costs), at 
EUR - 2.6 million, reflecting mainly the increase in interest expenses and the 
impact in 2001 of a non-recurring gain of EUR 30.9 million from the sale of 
shares in Parion. This led to a reduction in Consolidated Net Income compared 
with 2001.

In insurance, the Group's premium production showed strong growth, with gross 
written premiums up by 11%. In Life, growth was particularly strong in Portugal, 
Ireland and Slovakia, with growth rates exceeding 25%. In The Netherlands, our 
operations have seen a decrease in unit-linked products, which is estimated to 
be in line with the market, as it compares with a particularly strong quarter in 
2001. In Non-Life, we maintain a conservative stance in underwriting in the 
Portuguese market while our other markets experienced good growth. Our technical 
results show an improvement, in particular in Life and Non-Life, and expenses 
ratios also reflect a positive (declining) trend.

Our asset management activities continue to demonstrate their earnings 
resilience. At the client level, we have seen an increase in specialist 
mandates, which partially offsets a decrease in balanced mandates. This 
evolution has a positive impact in our earnings and we are confident, as the 
synergies of the integration of the different operations are expected to unfold 
throughout 2002, of the increase in profitability of this business.

In banking, our prudent stance in risk acquisition is leading us to higher 
levels of profitability combined with slower asset expansion. Strong growth has 
been experienced in customer liabilities, with deposits and other savings 
products increasing, during the first quarter, by EUR 404 million (6.5%) to 
EUR 6,652.4 million. Higher interest margin results led the banking activities 
to post better overall efficiency and profitability indicators.

The Group is seeing signs of renewed and strengthened sales growth across its 
financial services product range, and our market and business diversification 
are positively reflected in the operating results. We expect to continue to see 
solid organic growth at our Operating Companies and businesses and we endeavour 
to achieve further group expansion by consolidating our presence in Central 
Europe'.

Amsterdam, 16 May 2002 

Attachment: Interim Report -Financial Statements.


For further information, contact:

(Media)               Lorrie Morgan     Tel:     [phone] 
                                        Mobile:  [phone]

(Analysts)            Rui Lopes         Tel:     [phone] 
                                                 [phone]

                                   www.eureko.net

Note: Achmea buys a majority interest in Royal & Sun Alliance Benelux

Achmea, an operative company controlled by Eureko, announced that is to take 
over a major part of the activities of Royal & Sun Alliance (R&SA Benelux) in 
the Netherlands and Belgium, namely the life and non-life activities in Benelux, 
with the exception of the multinational non-life insurance business, which 
Royal & Sun Alliance will retain. The acquisition fits in with Achmea's strategy 
aimed at enhancing its position in the agents' segment in the Netherlands and 
expanding its Belgian activities.

Last year, Royal & Sun Alliance Benelux generated premium income of EUR 192 
million in Non-Life and EUR 83 million in Life, with a total staff of around 
325 jobs. The business will continue to operate in the Netherlands and Belgium 
under its present name until no later than 31 December. Achmea aims to merge the 
activities acquired with its existing business units as soon as possible, 
especially in the Netherlands. The scope for doing so will be examined shortly.

The purchase price is around EUR 123 million, and will be finally fixed on the 
date of the actual transfer. This transfer depends on a number of formal 
approvals and will probably take place on 1 July 2002.

Banco Comercial Portugues 

Interim report
 
Eureko B.V.


Consolidated Balance Sheet                                  As at        As at
EUR million                                         31 March 2002   31 December
                                                                         2001

ASSETS

Investments in associated companies                         903,7       884,8
Other investments                                        21.681,4    21.321,0
Investments on behalf of policyholders                   10.120,7     9.887,9 
Banking credit portfolio                                 14.647,0    14.530,3
Receivables                                               4.567,1     2,826,3
Other assets                                              1.951,5     1.993,4
Prepayments and accrued income                            2.148,2     1.760,0

Total Assets                                             56.019,6    53.203,7


EQUITY and LIABILITIES

Capital and reserves                                      2.295,4     2.261,9
Minority interest                                           391,6       391,6

Group equity                                              2.687,0     2.653,5


Subordinated loans                                          148,0       126,4
Fund for general banking risks                               44,9        44,9

Group capital base                                        2.879,9     2.824,8


Total technical provisions                               22.024,2    21.470,3
Technical provisions for policyholders                   10.111,6     9.887,9
General provisions                                          326,5       426,5
Banking customer accounts                                 6.652,4     6.247,5
Loans and borrowings                                      7.964,9     8.551,4
Other liabilities                                         5.225,7     2.881,0
Accruals and deferred income                                834,4       914,3

Total                                                    56.019,6    53.203,7


Consolidated Income Statement
EUR Million 

                                                   first quarter   first quarter
                                                           2002         2001

INCOME

Gross written premiums                                    2.260,2     2.038,7
Reinsurance premiums                                       -100,8       -87,0
Change in provision for unearned premiums                  -373,0      -420.3

Net earned premiums                                       1.786,4     1.531,4


Contributions received for health pooling                    35,4        31,2
Income from associated companies                             24,4        70,2
Investment income                                           272,1       343,9
Investment income for account of policyholders              135,2      -317,0
Asset management income                                      50,1        57,2
Banking income                                              239,2       336,5
Other income                                                131,4       113,5

Total income                                              2.674,2     2.166,9


EXPENSES
 
Net claims and movements in technical provisions          1.769,2     1.474,6
Profit sharing and rebates                                  122,5      -135,7
Operating expenses, insurance                               332,5       305,3
Asset management expenses                                    49,9        39,1
Banking expenses                                            185,0       271,5
Interest expenses                                            31,9        51,0
Other expenses                                               78,8        48,2

Total expenses                                            2.569,8     2.054,0


Ordinary result before tax                                  104,4       112,9
Tax on ordinary results                                     -19,4        -7,4

Ordinary result after tax                                    85,0       105,5
Extraordinary result before tax                               2,1         4,2
Tax on extraordinary result                                   0,0         0,0

Result before minority interest                              87,1       109,7
Minority interest                                            -6,9        -7,1

Total result after tax                                       80,2       102,6


Summary consolidated Cash Flow Statement                    first quarter 2002 
EUR Million
 
Cash flow from operating activities                                     848,0
Cash flow from investing activities                                    -550,5
Cash flow from banking activities                                       288,2
Cash flow from financing activities                                    -564,9

Net cash Flow                                                            20,8


Liquid assets at 1 January                                            1.373,8
Liquid assets at 31 March                                             1.394,6


Movements in group equity                                                2002
EUR Million
 
Balance at 1 January                                                  2.261,9
Change in revaluation reserve                                           -40,8
Change in currency reserve                                               13,2
Goodwill                                                                -19,0
Net income                                                               80,2
Other movements                                                          -0,1

Balance at 31st March 2002                                            2.295,4



Accounting Principles

The accounting principles that have been used for the interim report are the 
same as those used for the Annual Report 2001 

The first quarter 2002 and 2001 interim figures stated in this report are 
unaudited.
 
Breakdown of ordinary result before tax            first    first   Change %
EUR Million                                       quarter  quarter    
                                                    2002    2001

Insurance                                           79,5    44,4      79%
Asset Management                                    21,0    20,7       1%
Banking                                             10,9     2,2     395%
Other and Intergroup adjustments                    -7,0    45,6    -115%

                                                   104,4   112,9      -8%


Earnings per ordinary share                        first       first
                                                  quarter     quarter
                                                    2002        2001

Net results (EUR million)                          80,2         102,6

Average number of outstanding shares 
(of EUR 1.00 nominal value each)            220.805,306   188.955,164

Earnings per share (EUR)                           0,36          0,54


 
Number of employees (in FTE's)                 As at           As at
                                        31 March 2002    31 Dec 2001

Number of employees                           18.445         18.595


Highlights                                   first            first
EUR Million                                 quarter          quarter
                                              2002             2001    Change %

Gross written premiums                      2.260,2         2.038,7       11%

Total investment income                       407,3            26,9     1414%
Net claims and movements in
 technical provisions                       1.769,2         1.474,6       20%
Total result before tax                       106,5           117,1       -9%
Total result after tax                         80,2           102,6      -22%
EBITDA                                        149,5           179,2      -17%

Return on equity                               13,7%           10,7%      28%
Return on assets                                0,6%            0,8%     -27%


                                              As at           As at
                                        31 March 2002    31 Dec 2001

Capital and reserves                        2.295,4         2.261,9        1%
Total Assets                               56.019,6        53.203,7        5%
Total investments                          31.802,1        31.208,9        2%
Total technical provisions                 32.135,8        31.358,2        2%

Total assets under management             109.102,6       112.282,6       -3%


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