Information and Reporing Unit, Banking Supervision Division					09/06/2004
Statement for the first quarter - consolidated
Bank Hapoalim B.M and its subsidiaries , Main data, NIS million
Taken from the quarterly report to 31.03.2004, reported amounts at 31.03.2004 (2003  in adjusted amounts).
Summary consolidated balance sheet	31.03.2004	31.12.2003	Bank's share of the banking system
			31.03.2004	31.12.2003
Cash and deposits in banks	28,187	30,693	29.4%	30.2%
Securities	31,578	29,199	24.8%	24.1%
Credit to the public	184,052	184,087	32.3%	32.4%
Credit to the government	2,668	2,916	49.1%	51.1%
Investments in companies included on an equity basis	785	785	21.3%	21.8%
Buildings and equipment	3,531	3,554	33.1%	33.3%
Other assets	7,107	7,621	33.1%	31.5%
Total assets	257,908	258,855	30.9%	31.0%
Deposits of the public	202,528	204,207	30.0%	30.0%
Deposits of banks	7,849	7,692	30.5%	31.7%
Deposits of the government	4,386	4,879	26.1%	28.8%
Bonds and subordinated notes	18,260	17,765	45.5%	45.6%
Other liabilities	9,512	9,555	34.4%	33.5%
Total liabilities	242,535	244,098	30.8%	30.9%
Quasi-capital items	0	0	0.0%	0.0%
Minority shareholders' rights	789	501
Equity	14,584	14,256	32.5%	32.3%
Summary consolidated profit and loss statement	Three months to		Bank's share of the banking system
			Three months to
	31.03.2004	31.03.2003	31.03.2004	31.03.2003
Net interest profit before loan-loss provision	1,727.0	1,824.0	34.3%	36.2%
Loan-loss provision	412.0	532.0	33.9%	39.7%
Operating and other income	1,022.0	856.0	33.7%	33.3%
Of which: Operating income	796.0	693.0	32.6%	32.1%
Operating and other expenses	1,661.0	1,461.0	33.4%	31.0%
Of which: Salaries and related expenses	1,026.0	869.0	33.1%	29.6%
Ordinary before-tax provision	676.0	606.0	36.0%	44.6%
Provision for taxes on ordinary profit	299.0	287.0	37.4%	38.3%
Ordinary after-tax profit	377.0	319.0	35.0%	52.3%
Bank's share in the profit of subsidiaries	19.0	7.0
Share of minority shareholders in profit of consolidated companies	-12.0	-7.0
Extraordinary after-tax profit	129.0	-26.0
Net profit	513.0	293.0	40.5%	51.4%
Balances and rates of return on financial items by indexation base on 31.03.2004	Unindexed NIS	CPI-indexed  NIS	Foreign Currency (1)	Total financial items
Balance of financial assets on balance-sheet date	75,083	62,580	115,325	252,988
Balance of financial liabilities on balance-sheet date	83,552	52,798	105,947	242,297
Excess of financial assets over financial liabilities	-8,469	9,782	9,378	10,691
Total indexation balance (incl.forwards and options in term of basis assets) 2	-88	9,070	1,709	10,691
Rate of income on assets (percent) 3	6.67	4.93	16.59	11.75
Rate of expenditure on liabilities (percent) 3	-3.81	-3.76	-15.63	-10.40
Interest-rate differential	2.86	1.17	0.96	1.36
Problem borrowers	31.03.2004	31.12.2003
Total credit risk dew to problem borrowers	22,650	22,623
Total credit  to problem borrowers	21,300	20,765
Main financial ratios - consolidated (percent)	31.03.2004	31.12.2003
Equity/balance-sheet ratio	5.65	5.51
Finanancial capital/equity ratio	73.31	70.57
Equity/risk-weighted-assets ratio	10.80	10.40
Return on equity (net profit/gross weighted-capital ratio) 4	15.20	10.40
Operating income/operating expenses ratio 5	61.53	61.50
1 Including foreign-currency indexed NIS.
2 Forwards transactions.
3 Three-month rate of income (expenses), on annual basis including hedging, embedded and ALM derivatives.
4 Annual basis.
5 For three months. Comparative data are annual.
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