HSBC Subsidiary Results

HSBC Holdings PLC
26 June 2003

                                  BANQUE CHAIX

                              2002 ANNUAL RESULTS

Despite the difficult economic and market conditions in France, Banque Chaix
delivered further growth in the business and in earnings in 2002. Earnings were
up for the eighth consecutive year.

* Operating income increased by 7.0 per cent to €65.4 million.

* Operating profits before provisions were up 10.0 per cent to €33.0 million and
profit after tax increased by 5.8 per cent to €18.2 million.

* The cost:income ratio improved from 50.9 per cent to 49.5 per cent.

* Operating costs were up 4.2 per cent to €32.4 million.

* Total customer assets (savings, deposits, mutual funds and life insurance)
increased by 2.2 per cent to €1.7 billion, driven by a particularly good
performance in sight deposits, which were up 7.1 per cent.

* Customer loans were up 8.8 per cent to €557.5 million. The main contributors
were mortgage lending and long-term business loans, which grew by 12.8 per cent
to €233.2 million.

In 2002, Banque Chaix extended and upgraded its branch network. A new branch was
opened in Tarascon, five branches were totally refurbished and four cash point
machines were installed.

Banque Chaix also enhanced its product range with new investment and savings
products for retail and business customers.

Banque Chaix is a subsidiary of CCF. CCF became a member of the HSBC Group in
July 2000. With over 9,500 offices in 80 countries and territories and total
assets of US$759 billion at 31 December 2002, HSBC is one of the world's largest
banking and financial services organisations.

2002 Financial Highlights:

In € millions                                                2002                 2001                    %
Operating income                                             65.4                 61.1                +7.0%
Of which net fee income                                      20.5                 18.9                +8.5%
Operating costs                                              32.4                 31.1                +4.2%
Operating profit before provisions                           33.0                 30.0               +10.0%
Provisions for bad and doubtful debts                         4.5                  3.6               +25.0%
Pre-tax profit                                               28.5                 26.1                +9.2%
Profit after tax                                             18.2                 17.2                +5.8%
Cost:income ratio %                                          49.5                 50.9

Total assets                                              1,029.1              1,014.7                +1.4%
Customer loans                                              557.5                512.6                +8.8%
Customer deposits                                           841.0                841.4                 -

Off-balance sheet
Mutual funds, life insurance, other funds                   
under management                                            845.0                801.0                +5.5%



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