Banco de A' Edwards Strategic Vision

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• Banco de A. Edwards Strategic Vision

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STRATEGIC VISION
Create the leading chilean bank
Catalysts
Short Term

• Introduce New Products
• Increase cross - selling of

• Management track record
• Know how of controlling group
• Capital injection

• Enhance reserves and capitalize bank
• Grow income base

• Increase Cross-Selling

Long Term

• Double digit market share
• Top 3 rank

• Increase Penetration

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BANCO EDWARDS STRATEGY
High Income (Annual Income in excess of US
21,000)
Individuals
Top Tier Middle Income (Annual Income around
US18,000)
Lower-Middle Income (Annual Income between
US2,500-12,000)
Corporations
Corporations
Large Companies (Annual sales in excess of US 6
Millon)
Middle-Market Companies (Annual sales under US 6
Million)
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WHERE AND HOW

• Opportunities available in new segments . . .

Large Corporations
Middle and LowerMiddle Income Individuals

• Attractive prospects for growth
• Lower level of credit risk
• Lower level of operating expense
• Greater range of fee products
• Bigger sole-managed loans

Middle Income

• Leverage high income franchise

Lower-Middle Income

• Leverage existing presence (Finandes)
• Product penetration
• Mass market products

Broader, More Diversified, Income-Generating Base
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STRATEGIC VISION
. . . To be realised through wider distribution
and new products
Branch Expansion
Targets

• 20 new branches by mid 2001
• Double ATM Machines
• International presence

New Products

• Factoring
• Securitization
• Bancassurance
• Pension fund management

Broader, Stronger Market Presence and Competitive
Position
Electronic Banking
Targets

• Direct banking
• Internet

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BANCO DE A. EDWARDS HIGHLIGHTS

• Leading franchise.
• Proven ability to grow market share .
• Renewed commitment to conservative credit
  policies.
• Attractive platform for growth in a consolidating
  system.
• Important capital base.
• International long-term foreign currency rating
  equal to Chiles sovereign risk (A- by IBCA, Baa1
  by Moodys).

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SUMMARY OF FINANCIAL RESULTS