ITU Itau Unibanco Banco Multiplo S.A.

Banco Itau Holding Financeira S.A. Announces Results for the First Half of 2004 SAO PAULO, Brazil, Aug. 3 /PRNewswire-FirstCall/ -- Banco Itau Holding Financeira S.A. (NYSE:ITU) announces Results for the first half of 2004. During the first half of 2004, Itau maintained the profitability levels of recent years, evidencing the sustainability of its results and ensuring differentiated performance in the financial market. Our achievements reflect the efforts of our teams to build an increasingly solid and reliable organization, constantly searching for customer satisfaction and creating value for its shareholders. See below Itau's highlights for the six-month period. The complete Financial Statements can be found at Itau's website (http://www.itau.com/). - Consolidated net income totaled R$ 1.8 billion in the six-month period, with an annualized return of 30.6% and growth of 22.4% in relation to the first half of 2004. - Itau has paid or provisioned taxes and contributions related to the first half amounting R$ 1.8 billion. - Itau had 42,206 employees by the end of the six-month period. The fixed remuneration added to charges and benefits totaled R$ 1.3 billion, representing R$ 31 thousand per employee on average in the six-month period. During the period, R$ 22 million was invested in the development of personnel. - Consolidated stockholders' equity totaled R$ 12.8 billion, an 18.7% increase compared to June 2003, while net regulatory capital reached R$ 18.1 billion. Itau's stock exchange market capitalization reached R$ 30.5 billion, the highest among banks in Latin America. - The efficiency rate was below 50% for the seventh consecutive quarter, confirming Itau's efficiency in controlling costs, thanks to efforts of the entire organization. - By the end of the first half, the value of Itau Shares increased 36.3% over June 2003. The amount of interest on its own capital, provisioned and distributed to the stockholders, totaled R$ 503 million, at R$ 4.44 per thousand shares. - Consolidated assets totaled R$ 122.8 billion, 14.9% growth compared to the first half of 2003. In the same period, the loan portfolio increased 9.3% to R$ 48.7 billion, and 8.8% in the second quarter of 2004. - Total resources grew 23.2% compared to June 2003, totaling R$ 194.8 billion. The increase of 32.3% in investment funds must be pointed out. - Total technical provisions related to insurance, pension and capitalization reached R$ 9.3 billion, 72.0% growth compared to the same period of 2003. Premiums earned and pension and capitalization plans grew 15.3% compared to June 2003. - In the social and cultural areas should be highlighted the activities of Fundacao Itau Social and Instituto Itau Cultural. Worth highlighting at Fundacao Itau Social is the launching of the second edition of the "Premio Escrevendo o Futuro" ("Writing the Future Award"), expansion of the "Programa Melhoria da Educacao do Municipio" ("Improvement of Municipal Education Program"), and the launching of the "Programa Jovens Urbanos" (Urban Youth Program). Itau Cultural reaffirms its commitment to the Brazilian artistic production, launching the seventh edition of the "Rumos" program, which nowadays is divided into eight segments: Visual Arts, Cinema and Video, Dance, Cultural Journalism, Literature - Audiofictions, Music, Academic Research and Transmedia, with wide mapping action, selection of artists, work difusion and seminars to discuss general interest themes. In addition, three important partnerships celebrated in Minas Gerais are worth mentioning: with Clovis Salgado Foundation - Palacio das Artes, the State Education Department, and the TV network Rede Minas de Televisao. - Itau, through Banco Itau-BBA, has an environmental policy comprising loans to client businesses, structured on compliance with environmental guidelines set forth by organizations dedicated to encouraging sustainable development. The strategy orientation favoring environmental responsibility aspects was restated, with the deepening of guidelines, both to grant loans and in the Bank's relationship with surrounding communities. - The Itau brand was considered the most valuable brand for the third consecutive time, according to a recent appraisal carried out by British consultants Interbrand, world leader in brand appraisal. This year, it was valued at US$ 1.204 billion, 10% higher than in 2003 (US$ 1.093 billion). Itau was also considered for the seventh consecutive year the best Brazilian bank by Euromoney magazine. - The Audit Committee initiated activities on July 1, 2004, in line with the requirements of Resolution no. 3198 of the National Monetary Council, the Sarbanes-Oxley Act and SEC. Three outside members were appointed to the Committee: director Carlos da Camara Pestana, as Committee Chairman, and directors Alcides Lopes Tapias and Tereza Cristina Grossi Togni. The latter will be the Committee's expert director because of her proven knowledge in accounting and audit areas. - On July, 27, 2004, Itau and Companhia Brasileira de Distribuicao (CBD) announced the signing of a Memorandum of Understanding, whose objective is to establish a partnership, with the formation of a new financial institution that will work exclusively on the structuring and sale of products and financial services and related services for CBD customers. This association of two leading domestic groups of acknowledged management excellence and high value brands will strengthen the credit market for Brazilian consumers. A conference call will be held on Wednesday, August 4 in Portuguese at 09:00a.m. and in English at 10:00p.m. (Brasilia Time). Access the site http://www.itau.com/ and participate! R$ Thousand Quarters Ended June 30, Variation 2004 and 2003 06/30/2004 06/30/2003 % Stockholders' equity 12,787,340 10,771,808 18.7 Total assets 122,759,553 106,799,152 14.9 Total loans 48,712,995 44,585,579 9.3 Income from financial operations before accrual loans (*) 4,926,972 5,499,648 -10.4 Gross income from financial intermediation (*) 4,506,941 4,788,931 -5.9 Operating income (*) 3,026,150 3,234,873 -6.5 Net income (*) 1,824,916 1,490,461 22.4 Number of outstanding shares (in thousands) 113,159,755 114,391,026 -1.1 Net income per thousand shares ? R$ 16.13 13.03 23.8 Book value per thousand shares ? R$ 113.00 94.17 20.0 (*) Accumulated in respective periods. DATASOURCE: Banco Itau Holding Financeira S.A. CONTACT: Geraldo Soares, Banco Itau Holding Financeria, S.A., +011-55-11-5019-1549, or investor.relations@ita�.com.br Web site: http://www.itau.com/

Copyright