Banque Chaix FY2003 Results

HSBC Holdings PLC
14 May 2004


The following text is the English translation of a news release issued in France
by Banque Chaix, a wholly-owned subsidiary of HSBC Holdings plc.

                        BANQUE CHAIX 2003 ANNUAL RESULTS

   •Operating income increased by 14.7 per cent to €75.0 million.

   •Operating profit before provisions up 26.1 per cent to €41.6 million and
    profit after tax up 35.7 per cent to €24.7million.

   •The cost:income ratio improved from 49.5 per cent to 44.5 per cent.

   •Operating costs were up 3.1 per cent to €33.4 million, mainly due to the
    higher cost of regulatory compliance and the ongoing branch renovation
    programme.

   •Total customer assets (savings, deposits, mutual funds and life
    insurance) increased by 5.9 per cent to €1.8 billion, driven by a
    particularly good performance in sight deposits, which were up 8.5 per cent.

   •Customer loans were up 6.4 per cent to €593.3 million. The main
    contributors were mortgage lending and long-term business loans.

Against the backdrop of a significant recovery in the financial markets and an
improved economic environment, Banque Chaix delivered further growth in its
business and earnings in 2003. Earnings increased for the ninth consecutive
year.

In 2003, Banque Chaix began modernising its branch network, refurbishing seven
branches and installing six new ATMs.

Banque Chaix has bolstered its regional presence by expanding its commercial
teams in areas showing high potential for growth. Customers of the bank's
network of 66 branches also benefit from the expertise of five specialist
finance centres covering the entire spectrum of its banking expertise.
Specialisms include wealth management, international services, business asset
management, inheritance planning and providing business services to the grape
and wine production industries.

Notes to editors:

HSBC Holdings plc
Banque Chaix is a subsidiary of CCF which became a member of the HSBC Group in
July 2000. HSBC Holdings plc is headquartered in the UK. The HSBC Group serves
over 110 million customers worldwide from more than 9,500 offices in 79
countries and territories in Europe, the Asia-Pacific region, the Americas, the
Middle East and Africa. With assets of US$1,034 billion at 31 December 2003,
HSBC is one of the world's largest banking and financial services organisations.
HSBC is marketed worldwide as 'the world's local bank'.

Financial highlights

In € millions                              2003        2002          %
Operating income                           75.0        65.4      +14.7
Of which net fee income                    21.1        20.5       +2.9
Operating costs                            33.4        32.4       +3.1
Operating profit before
  provisions                               41.6        33.0      +26.1
Provision for bad and doubtful
  debts                                     9.0         4.5     +100.0
Pre-tax profit                             32.7        28.5      +14.7
Profit after tax                           24.7        18.2      +35.7
Cost:income ratio (%)                      44.5        49.5

Total assets                            1,072.3     1,029.1       +4.2

Customer loans                            593.3       557.5       +6.4
Customer deposits                         912.3       841.0       +8.5

Off-balance sheet
Mutual funds, life insurance, other
  funds under management                  900.6       845.0       +6.6


                      This information is provided by RNS
            The company news service from the London Stock Exchange