
Information and Reporing Unit, Banking Supervision Division					14/12/2004
Statement for the second quarter - consolidated
Israel Discount Bank Ltd. and its subsidiaries , Main data, NIS million
Taken from the quarterly report to 30.06.2004, reported amounts at 30.06.2004 (2003 in adjusted amounts).

Summary consolidated balance sheet	30.06.2004	31.12.2003	Banking group's share of the banking system
Summary consolidated balance sheet	30.06.2004	31.12.2003	30.06.2004	31.12.2003
Cash and deposits in banks (*)	17,010	16,888	17.2%	16.6%
Securities	40,934	38,774	31.0%	32.0%
Credit to the public	76,809	76,464	13.5%	13.4%
Credit to the government	354	367	7.1%	6.4%
Investments in companies included on an equity basis	1,213	1,238	32.6%	34.4%
Buildings and equipment	1,946	2,133	18.7%	20.0%
Other assets	3,598	3,742	17.6%	15.5%
Total assets	141,864	139,606	16.9%	16.7%
Deposits of the public	121,995	119,924	17.8%	17.6%
Deposits of banks (*)	4,817	5,097	19.1%	21.0%
Deposits of the government	136	171	0.8%	1.0%
Bonds and subordinated notes	4,586	4,223	11.2%	10.8%
Other liabilities	3,791	3,738	14.9%	13.1%
Total liabilities	135,325	133,153	17.1%	16.9%
Quasi-capital items	0	0	0.0%	0.0%
Minority shareholders' rights	502	484
Equity	6,037	5,969	13.2%	13.5%

Summary consolidated profit and loss statement	Six months to		Banking group's share of the banking system		Three months to
	Six months to		Six months to		Three months to
	30.06.2004	30.06.2003	30.06.2004	30.06.2003	30.06.2004
Net interest profit before loan-loss provision	1,737.0	1,510.0	16.6%	15.4%	879.0
Loan-loss provision	343.0	391.0	14.3%	12.8%	180.0
Operating and other income	1,106.0	1,035.0	18.4%	18.9%	525.0
Of which: Operating income	877.0	798.0	18.1%	18.2%	429.0
Operating and other expenses	2,002.0	1,777.0	20.5%	19.5%	949.0
Of which: Salaries and related expenses	1,279.0	1,125.0	21.5%	20.3%	588.0
Ordinary before-tax provision	498.0	380.0	11.4%	11.7%	275.0
Provision for taxes on ordinary profit	234.0	259.0	12.1%	14.8%	126.0
Ordinary after-tax profit	264.0	121.0	10.8%	8.0%	149.0
Bank's share in the profit of subsidiaries	76.0	69.0			43.0
Share of minority shareholders in profit of consolidated companies	-38.0	-32.0			-21.0
Extraordinary after-tax profit	34.0	-169.0			44.0
Net profit	336.0	-11.0	12.1%	not calculated	215.0


Balances and rates of return on financial items by indexation base on 30.06.2004	Unindexed NIS	CPI-indexed NIS	Foreign Currency (1)	Total financial items
Balance of financial assets on balance-sheet date	44,119	22,877	70,539	137,535
Balance of financial liabilities on balance-sheet date	44,538	21,534	69,151	135,223
Excess of financial assets over financial liabilities	-419	1,343	1,388	2,312
Total indexation balance (incl.forwards and options in term of basis assets) 2	1,393	1,621	-702	2,312
Rate of income on assets (percent) 3	6.43	8.15	6.13	6.50
Rate of expenditure on liabilities (percent) 3	-3.67	-6.37	-4.85	-4.72
Interest-rate differential	2.76	1.78	1.28	1.78

Problem borrowers	30.06.2004	31.12.2003
Total credit risk dew to problem borrowers	9,265	9,493
Total credit to problem borrowers	8,710	8,961

Main financial ratios - consolidated (percent)	30.06.2004	31.12.2003
Equity/balance-sheet ratio	4.26	4.28
Finanancial capital/equity ratio	38.30	35.47
Equity/risk-weighted-assets ratio	9.94	9.38
Return on equity (net profit/gross weighted-capital ratio) 4	11.60	3.30
Operating income/operating expenses ratio 5	55.24	58.07

^{1 Including foreign-currency indexed NIS.}
^{2 Forwards transactions.}
^{3 Six-month rate of income (expenses), on annual basis including hedging, embedded and ALM derivatives.}
^{4 Annual basis.}
^{5 For six months. Comparative data are annual.}
					6
^{(*) See note no. 5.1.4 in the introduction.}