
Information and Reporing Unit, Banking Supervision Division					14/12/2004
Statement for the second quarter - consolidated
Bank Massad 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 (*)	790	1,111	0.6%	0.7%
Securities	719	568	0.5%	0.5%
Credit to the public	1,027	1,000	0.2%	0.2%
Credit to the government	0	0	0.0%	0.0%
Investments in companies included on an equity basis	0	0	0.0%	0.0%
Buildings and equipment	59	60	0.6%	0.6%
Other assets	8	8	0.0%	0.0%
Total assets	2,603	2,747	0.3%	0.3%
Deposits of the public	2,350	2,505	0.3%	0.4%
Deposits of banks (*)	6	6	0.0%	0.0%
Deposits of the government	0	0	0.0%	0.0%
Bonds and subordinated notes	0	0	0.0%	0.0%
Other liabilities	19	22	0.1%	0.1%
Total liabilities	2,375	2,533	0.3%	0.3%
Quasi-capital items	0	0	0.0%	0.0%
Minority shareholders' rights	0	0
Equity	228	215	0.5%	0.5%

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	58.2	51.0	0.6%	0.5%	34.0
Loan-loss provision	5.7	5.0	0.2%	0.2%	3.3
Operating and other income	35.0	31.0	0.6%	0.6%	17.8
Of which: Operating income	24.9	23.2	0.5%	0.5%	12.4
Operating and other expenses	59.0	54.0	0.6%	0.6%	30.6
Of which: Salaries and related expenses	31.3	27.7	0.5%	0.5%	15.3
Ordinary before-tax provision	28.5	23.2	0.7%	0.7%	17.9
Provision for taxes on ordinary profit	12.6	10.9	0.6%	0.6%	7.2
Ordinary after-tax profit	15.9	12.3	0.7%	0.8%	10.7
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	0.0	0.3			0.0
Net profit	15.9	12.6	0.6%	0.9%	10.7


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	1,543	813	189	2,544
Balance of financial liabilities on balance-sheet date	1,479	715	181	2,375
Excess of financial assets over financial liabilities	64	97	8	169
Total indexation balance (incl.forwards and options in term of basis assets) 2	58	99	12	169
Rate of income on assets (percent) 3	7.35	7.24	3.65	6.99
Rate of expenditure on liabilities (percent) 3	-2.49	-5.44	-2.66	-3.38
Interest-rate differential	4.86	1.80	0.99	3.61

Problem borrowers	30.06.2004	31.12.2003
Total credit risk dew to problem borrowers	141	138
Total credit to problem borrowers	138	136

Main financial ratios - consolidated (percent)	30.06.2004	31.12.2003
Equity/balance-sheet ratio	8.74	7.81
Finanancial capital/equity ratio	74.29	71.99
Equity/risk-weighted-assets ratio	16.53	14.98
Return on equity (net profit/gross weighted-capital ratio) 4	15.40	15.20
Operating income/operating expenses ratio 5	59.32	55.68

^{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.}
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^{(*) See note no. 5.1.4 in the introduction.}