1

Growing together with enterprises

Milano, 3 July 2009

2

Lending still growing Δ% y/y

April 2009/April 2008 + 3.4% short term + 3.4%

medium-long term + 3.5%

December 2008/December 2007 + 6.8% short term + 7.8%

medium-long term + 6.1%

-12.0

-10.0

-8.0

-6.0

-4.0

-2.0

0.0

2.0

4.0

6.0

8.0

10.0

Dec-05 Jun-06 Dec-06 Jun-07 Dec-07 Jun-08 Dec-08

GDP Investments

Lending to enterprises in Italy is still growing despite the recession

Slumping Production and Export* ...

Declining GDP and Investments*...

* Nominal growth rates

-25.0

-20.0

-15.0

-10.0

-5.0

0.0

5.0

10.0

15.0

20.0

Dec-05 Jun-06 Dec-06 Jun-07 Dec-07 Jun-08 Dec-08

Ind. Prod. Export

3

13.1% 12.1% 10.8% 6.8% 4.0%

-10.6% -21.1%-3.9%1.0% 0.1%

Mar. 08 Jun. 08 Sep. 08 Dec. 08 Mar. 09

Loans to enterprises Industrial Production

Correlation between Industrial Production and lending to enterprises

(% Y/Y)

Gap between loan growth and Industrial

Production growth

Lending is growing more than the Economy (1/2)

25.117.314.712.012.1

4

Correlation between Export and lending to enterprises

Gap between loan growth and Export growth

(% Y/Y)

Lending is growing more than the Economy (2/2)

4.0%6.8%10.8%12.1%13.1%

4.7%4.5% 2.0%

-19.8%-6.6%

Mar. 08 Jun. 08 Sep. 08 Dec. 08 Mar. 09

Loans to enterprises Export (current prices)

23.813.48.87.48.6

5

Rate on loans and spread at all-time lows...

Rate on loans to enterprises Cost of funding

Spread (Loans to enterprises – funding)

1.00

2.00

3.00

4.00

Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-093.00

4.00

5.00

6.00

7.00

Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09

1.00

2.00

3.00

4.00

Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09

Bond rate spread vs Euribor 3m

Source: Bank of Italy

-1.00-0.500.000.501.001.502.002.50

Dec-05 Dec-06 Dec-07 Dec-08

6

16.6

79.4

0

20

40

60

80

100

2007 2008

... which adds to the strong increase in adjustments to loans

Banking system: adjustments to loans (Δ% y/y)

7

Italian banks remain more committed to lending to enterprises compared to all main European peers

2009 ABI Report on Banking systemLoans to customers*/assets (December 2008)

(*) Loans to individual customers and enterprises (excluding corporate bonds, if any)Source: ABI’s European Banking Report on companies financial statements – Sample of 29 European banking groups (partially estimated figures)

In attesa di tabella da fogola

40%

33%

19%

16%

13%

12%

8%

14%

21%

23%

17%

18%

9%

10%

2%

4%

2%

3%

4%

2%

3%

7%

4%

2%

1%

1%

1%

1%

0% 10% 20% 30% 40% 50% 60% 70%

Italy

Spain

Netherlands

EU Average (excluding I.)

UK

France

Germany

Loans to enterprises Mortgages Consumer Credit Other loans

22%

25%

36%

38%

45%

62%

63%

8

Cost of funding for Italian enterprises is in the Euro area average

Up to 1 year duration and facility amount > 1 million

Rate on loans to non-financial companiesUp to 1 year duration and facility amount <= 1 million

2.0

3.0

4.0

5.0

6.0

7.0

Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09

2.02.53.03.54.04.55.05.56.0

Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09

Germany Spain France Italy EA

9

Data as at 31.5.2009

Facilities granted

%on total

Individual customers 85 18%

Small enterprises 70 15%

Small - medium enterprises 115 25%

Medium enterprises 45 10%

Large enterprises 80 17%

P.A. and Financial Institutions(*) 75 16%

TOTAL 470 100%

ISP lends almost 500bn to the Italian system (approx. 1/3 of GDP)of which 67% to enterprises, above all small and medium-sized

(*) Including Public Administrations, Financial Institutions, Banca IMI, Product company direct distribution and other BdT clients.

50%67%

€bn (rounding figure: 5)

10

Used Margin MLT Disbursements

May2009

May2008

12 months Flow (1)

2009 First 6 months

Small enterprises 45.7 45.5 5.6 2.4

Small - medium enterprises 79.0 79.4 9.4 4.0

Medium enterprises 27.4 26.9 2.9 1.3

Total 152.1 151.8 17.9 7.8

ISP has succeeded in not reducing its lending to Italian enterprises even during the last 12 months, despite the sharp fall in loan demand and the significant rise in credit risk. Almost €18bn of new medium-long term credit disbursements

(1) MLT disbursement flow from 31.5.2008 to 31.5.2009.

€bn

11

Intesa Sanpaolo confirms credit availability for Italian enterprises

€61bn as current unused margin of facilities already granted

€30bn as new facilities to be granted on request

Expectations of new medium/long term credit disbursements of €50/60bn over the next 36 months (the figure for the last 6 six months was some €8bn)

€18bn Small enterprises

€30bn Small-medium enterprises

€13bn Medium enterprises

12

Serving Small and Medium-sized enterprises

A solid wide-ranging and flexible offering: 2 types of offering, 6 product areas and several product lines to identifysolutions tailored to customer demand

Recurring

One off

Short-term loans and payment systemsManagement of corporate risksInnovation and developmentInternationalisation

Strengthening and developmentCapital base and flexible loansConcrete supportLiquidity to the system

TYPES OF OFFERING PRODUCT AREAS PRODUCT LINES

9 lines2 lines10 lines6 lines

8 lines

4 lines

13

Our further commitments to facilitate credit access

Constant renewal of our offering by sector

Transparency of contractual conditions

“Bridging” with all other entities that can facilitate credit

Capital investment, not only lending

Do not ask us to make bad loans, however

Proximity typical of a local bank: the Banca dei Territori model

14

Progetto Progetto Edilizia Edilizia

A dedicated offering constantly renewed for each sector

Professionals and self-employed people

Small Manufacturing

TourismHandicraft

Commerce

Other

Constructions

Enterprises

CondominiumsOther

--

Agriculture

15

The Banca dei Territori model

Competitive edges of a Bank, which is national, international as well as local

8 Regional Governance Centres

20 Local Banks

6,200 Branches

55,000 professionals

11 million customers

16

Specialised banks Product companies

International subsidiary banks

The whole group at the service of Banca dei Territori

17

Increasing transparency and simplification of contractualconditions

Rates.........

Commissions...

...

...

...

Expenses.........

Reimbursements............

Facility commission

Used margin rate

18

“Bridging” with all other entities that can facilitate credit access

350 Confidi (nearly €7bn “plafond” available)

Fondo Centrale di Garanzia

SACE

Cassa Depositi e Prestiti

BEI

19

Capital investment, not only lending

Mezzanine funds

Private equity investments

Development participations

Institutional participations

Venture capital participations/funds (Atlante Ventures)

“Special Situation”participations/funds

Regional funds (Nord Impresa, Centro Impresa, Mezzogiorno)

Merchant banking dedicated to investments in enterprise equity

Since 2003 more than 120 deals in capital investment (both direct and indirect) have been closed.

About 75% of the deals finalised refer to Small and Medium-sized enterprises

20

We share the same worries of all the enterpreneurs

How the recession will evolve

Growing weight of payments (public and private) past due

Basel 2 effectMechanism procyclicality“Automatic” deterioration of enterprises on the basis of their balance sheetsBankability of initiatives to finance

21

There are features of solidity in the Italian system that couldplay a crucial role

Many enterprises/sectors/districts are holding up

Resilience of the banking system

Total indebtedness is lower than elsewhere

Our economy is more diversified and flexible than others

Our society still has important elements of cohesion

22

Together we can meet the present challenges and preparefor the new growth phase