Information and Reporing Unit, Banking Supervision Division					03/12/2002
Statement for the third quarter - consolidated
Union Bank of Israel Ltd. and its subsidiaries, Main data, NIS million
Taken from the quarterly report to 30.09.2002. Adjusted to the CPI for  09.2002.
Summary consolidated balance sheet	30.09.2002	31.12.2001	Bank's share of the banking system
			30.09.2002	31.12.2001
Cash and deposits in banks	1,228	1,780	1.2%	1.5%
Securities	3,695	3,009	3.3%	2.8%
Credit to the public	15,775	17,342	2.7%	3.0%
Credit to the government	64	62	0.7%	0.6%
Investments in companies included on an equity basis	35	42	0.9%	1.0%
Buildings and equipment	354	349	3.4%	3.4%
Other assets	1,212	1,063	6.2%	6.0%
Total assets	22,363	23,647	2.6%	2.8%
Deposits of the public	18,701	19,980	2.7%	2.8%
Deposits of banks	676	762	2.5%	3.4%
Deposits of the government	18	23	0.1%	0.1%
Bonds and subordinated notes	643	576	1.7%	1.6%
Other liabilities	1,257	1,101	5.1%	4.9%
Total liabilities	21,295	22,442	2.7%	2.8%
Quasi-capital items	0	0	0.0%	0.0%
Minority shareholders' rights	0	0
Equity	1,068	1,205	2.6%	2.9%
Summary consolidated profit and loss statement	Nine months to		Bank's share of the banking system		Three months to
			Nine months to
	30.09.2002	30.09.2001	30.09.2002	30.09.2001	30.09.2002
Net interest profit before loan-loss provision	344.0	375.0	לא חושב	3.4%	114.0
Loan-loss provision	158.0	90.0	לא חושב	4.1%	65.0
Operating and other income	180.0	149.0	לא חושב	2.4%	60.0
Of which: Operating income	167.0	137.0	לא חושב	2.6%	55.0
Operating and other expenses	346.0	379.0	לא חושב	3.5%	113.0
Of which: Salaries and related expenses	204.0	232.0	לא חושב	3.5%	63.0
Ordinary before-tax provision	20.0	55.0	לא חושב	1.3%	-4.0
Provision for taxes on ordinary profit	17.0	35.0	לא חושב	1.8%	1.0
Ordinary after-tax profit	3.0	20.0	לא חושב	0.9%	-5.0
Bank's share in the profit of subsidiaries	-1.0	2.0			0.0
Share of minority shareholders in profit of consolidated companies	0.0	0.0			0.0
Extraordinary after-tax profit	-6.0	0.0			0.0
Net profit	-4.0	22.0	לא חושב	1.1%	-5.0
Profit after the effect of the difference between the known index and the "in lieu" index	1.0	26.0	לא חושב	1.2%
Balances and rates of return on financial items by indexation base on 30.09.2002	Unindexed NIS	CPI-indexed  NIS	Foreign Currency (1)	Total financial items
Balance of financial assets on balance-sheet date	8,774	4,512	8,600	21,886
Balance of financial liabilities on balance-sheet date	10,079	3,502	7,654	21,235
Excess of financial assets over financial liabilities	-1,305	1,010	946	651
Total indexation balance (incl.forwards and options in term of basis assets) 2	-235	916	-30	651
Rate of income on assets (percent) 3	-1.23	4.65	12.27	4.59
Rate of expenditure on liabilities (percent) 3	3.78	-4.83	-10.97	-2.84
Interest-rate differential	2.55	-0.17	1.30	1.75
Problem borrowers	30.09.2002	31.12.2001
Total credit risk dew to problem borrowers	1,605	1,480
Total credit  to problem borrowers	1,472	1,446
Main financial ratios - consolidated (percent)	30.09.2002	31.12.2001
Equity/balance-sheet ratio	4.78	5.10
Finanancial capital/equity ratio	60.96	58.42
Equity/risk-weighted-assets ratio	10.00	8.60
Return on equity (net profit/gross weighted-capital ratio) 4	-0.40	0.40
Operating income/operating expenses ratio 5	52.02	38.12
1 Including foreign-currency indexed NIS.
2 Forwards transactions.
3 Nine-month rate of income (expenses), on annual basis including ALM derivatives.
4 Annual basis.
5 For nine months. Comparative data are annual.
					8