Stmnt re Republic of New York

HSBC HOLDINGS PLC
2 September 1999


   HSBC STATEMENT REGARDING REPUBLIC NEW YORK CORPORATION INVESTIGATION

HSBC has been apprised by Republic New York Corporation of the investigation
into certain activities of Republic's securities subsidiary announced in
Republic's press release on 1 September 1999.  HSBC expects to receive further
information as the investigation progresses.  In the meantime, while reserving
all its rights under the Merger Agreement with respect to its previously
announced merger with Republic, HSBC continues to work with Republic towards
closing of the Merger in accordance with the Agreement.  As a result of this
investigation, it may take longer than originally anticipated to complete the
regulatory process related to the Merger and, in that case, it may be
necessary for HSBC to extend beyond 30 September its tender offer for common
shares of Safra Republic Holdings S.A.