Information and Reporing Unit, Banking Supervision Division					03/12/2002
Statement for the third quarter - consolidated
"Tefahot" Israel Mortgage Bank 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	73	56	32.5%	5.1%
Securities	16	16	3.9%	88.9%
Credit to the public	32,046	31,568	29.1%	29.5%
Credit to the government	4	4	100.0%	100.0%
Investments in companies included on an equity basis	0	0	0.0%	0.0%
Buildings and equipment	85	83	33.6%	32.8%
Other assets	83	56	21.5%	18.7%
Total assets	32,307	31,783	29.0%	29.3%
Deposits of the public	20,197	19,603	45.3%	43.9%
Deposits of banks	8,357	8,649	15.3%	16.6%
Deposits of the government	175	199	13.4%	12.7%
Bonds and subordinated notes	1,505	1,372	38.2%	35.6%
Other liabilities	151	188	33.1%	39.9%
Total liabilities	30,385	30,011	29.0%	29.2%
Quasi-capital items	0	0	0.0%	0.0%
Minority shareholders' rights	0	0	0.0%	0.0%
Equity	1,922	1,772	30.2%	29.9%
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	300.0	298.0	34.1%	33.4%	122.0
Loan-loss provision	78.0	65.0	38.2%	28.9%	29.0
Operating and other income	241.0	246.0	37.0%	38.4%	78.0
Of which: Operating income	228.0	234.0	35.9%	37.4%	74.0
Operating and other expenses	180.0	182.0	34.1%	33.5%	61.0
Of which: Salaries and related expenses	108.0	109.0	38.4%	37.0%	37.0
Ordinary before-tax provision	283.0	297.0	35.5%	38.9%	110.0
Provision for taxes on ordinary profit	132.0	143.0	35.7%	38.9%	44.0
Ordinary after-tax profit	151.0	154.0	35.2%	38.9%	66.0
Bank's share in the profit of subsidiaries	0.0	0.0			0.0
Share of minority shareholders in profit of consolidated companies	0.0	0.0			0.0
Extraordinary after-tax profit	-1.0	0.0			0.0
Net profit	150.0	154.0	35.2%	39.1%	66.0
Profit after the effect of the difference between the known index and the "in lieu" index	160.0	159.0	35.2%	38.8%
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	2,486	27,916	1,819	32,221
Balance of financial liabilities on balance-sheet date	2,806	26,283	1,262	30,351
Excess of financial assets over financial liabilities	-320	1,633	557	1,870
Total indexation balance (incl.forwards)	-145	2,002	13	1,870
Additional information on the CPI-indexed sector for the nine months to 30.09.2002	Average balance for nine months	Net nine monthly interest income (expenses)		Rate of income  (expenditure) (2)
Total financial assets	28,104	1,100.0		5.25
Total financial liabilities	26,369	-889.0		-4.52
Interest-rate differential				0.73
Problem borrowers	30.09.2002	31.12.2001
Total credit risk dew to problem borrowers	1802	1640
Total credit  to problem borrowers	1583	1428
Main financial ratios - consolidated (percent)	30.09.2002	31.12.2001
Equity/balance-sheet ratio	5.95	5.58
Finanancial capital/equity ratio	97.29	96.56
Equity/risk-weighted-assets ratio	10.51	9.86
Return on equity (net profit/gross weighted-capital ratio) (4)	11.40	13.00
Operating income/operating expenses ratio (5)	133.89	132.26
1 Including foreign-currency indexed NIS.
2 Nine-month rate of income (expenses), on annual basis including ALM derivatives.
3 Annual basis.
4 For nine months. Comparative data are annual.
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