1

Interim financial resultsInterim financial results for the six months tofor the six months to

30 June 200130 June 2001

2

Presentation structurePresentation structure

Financial highlightsFinancial highlights Alan van BiljonAlan van Biljon Retail BankingRetail Banking Peter Wharton-Hood Peter Wharton-Hood

SCMBSCMB Myles RuckMyles Ruck Commercial BankingCommercial Banking Private Banking Private Banking International OperationsInternational Operations Jacko MareeJacko Maree Stanbic AfricaStanbic Africa Liberty GroupLiberty Group Conclusion Conclusion

3

Key financial statisticsKey financial statisticsHeadline earnings per share 21% up Headline earnings per share 21% up

June ‘01 % change June ‘00

Headline earnings Rm 2 020 24 1 632

Headline EPS cents 154 21 127

Cost-to-income ratio % 57.8 60.9

RoE % 21.2 21.4

NAV per share cents 1 503 22 1 229

Adjusted NAV per share cents 1 741 21 1 433

Total assets Rbn 310 18 262

4

Income statement highlightsIncome statement highlightsHeadline earnings 24% upHeadline earnings 24% up

June ‘01(Rm)

% change June ‘00(Rm)

Total income 7 911 13 7 006

Provision for credit losses (747) 13 (661)

Operating expenses (4 570) 7 (4 270)

Operating profit 2 594 25 2 075

Taxation (806) 24 (652)Effective tax rate 31.1% 31.8%

Net income after tax 1 806 26 1 433

Liberty 220 8 204

Headline earnings 2 020 24 1 632

5

Headline earnings per business unitHeadline earnings per business unitIncreased contribution from Retail BankingIncreased contribution from Retail Banking

Stanbic Africa9%

(9%)

International Operations

13%(14%)

Commercial Banking

13%(13%)

SCMB23%

(23%)

Retail Banking31%

(29%)

Liberty11%

(12%)

( ) 30 June ‘00

6

Summarised balance sheetSummarised balance sheetTotal assets 18% higherTotal assets 18% higher

June ‘01(Rbn)

% change June ‘00(Rbn)

Cash and short-term funds 34.8 7 32.6

Advances 136.7 15 119.2

Other assets 59.7 48 40.5

Total banking assets 231.2 20 192.3

Liberty 78.5 13 69.3

Total assets 309.7 18 261.6

Shareholders' funds 19.9 24 16.0

Minority interests 5.3 (19) 6.5

Deposits 185.0 18 156.9

Other liabilities 28.5 29 22.1

Liberty 71.0 18 60.1

Total liabilities 309.7 18 261.6

7

Net interest marginNet interest marginSlight reduction in lending marginsSlight reduction in lending margins

%

Average funds margin 2000 3.71

Domestic operations (0.06)

Endowment effect -

Higher group resources 0.06

Higher branch deposits 0.11

Lending (0.15)

Treasury activities (0.08)

Stanbic Africa (0.08)

International Operations (0.07)

Centralised funding 0.04

Average funds margin 2001 3.54

8

Net interest incomeNet interest incomeGood growth despite adverse conditions, +12%Good growth despite adverse conditions, +12%

Domestic operations +8%Domestic operations +8% Low advances growth, 7%Low advances growth, 7% Stable interest rates, pressure on funding costsStable interest rates, pressure on funding costs Competitive pressure on lending marginsCompetitive pressure on lending margins Growth in savingsGrowth in savings

Stanbic Africa +3%Stanbic Africa +3% Solid lending growth, 18%Solid lending growth, 18% ZimbabweZimbabwe

International Operations +20%International Operations +20% Strong advances growthStrong advances growth Devaluation of the RandDevaluation of the Rand Lower margins - improved asset qualityLower margins - improved asset quality

9

Non-interest incomeNon-interest income51% of total income51% of total income

0

500

1000

1500

2000

2500

3000

Feeincome

Trading Other

Rm

June 00 June 01

Fees and commissions +15%Fees and commissions +15% Domestic operations +20%Domestic operations +20% New service chargesNew service charges Transactional volume growth in new Transactional volume growth in new

channels - Internet +82%channels - Internet +82% SCMB +31%SCMB +31% Stanbic Africa - volume growth and Stanbic Africa - volume growth and

repricingrepricing International Operations - decline in International Operations - decline in

advisory feesadvisory fees Trading income +13%Trading income +13% International Operations +22%International Operations +22% Volatility in emerging marketsVolatility in emerging markets Favourable spreads in foreign exchange Favourable spreads in foreign exchange

tradingtrading Other income +15%Other income +15% Improvement in short-term insurance Improvement in short-term insurance

activitiesactivities Volume growth in CATS and BEST +33%Volume growth in CATS and BEST +33%

10

Provision for credit lossesProvision for credit lossesImproving domestic environmentImproving domestic environment

Domestic operations +4%Domestic operations +4%

Aggressive provisioning in Commercial Aggressive provisioning in Commercial

Banking - provisions +R54mBanking - provisions +R54m

Retail 2% lowerRetail 2% lower

SCMB 10% lowerSCMB 10% lower

Stanbic Africa +R15m Stanbic Africa +R15m

Prudent provisioningPrudent provisioning

International Operations +R45mInternational Operations +R45m

Higher general debt and Mining Finance Higher general debt and Mining Finance

provisionsprovisions

1.14%

0.02%

Stanbic

2000

International

Operations

StanbicAfrica

Domestic operations

Stanbic

2001

0.06% (0.09%)

1.13%

Credit provisions to average advances

11

Non-performing loansNon-performing loansImproving bookImproving book

June ’01

(Rm)

% Dec ’00

(Rm)

Gross NPLs 5 250 (1) 5 278

Less : Specific provision (1 679) (20) (2 100)

: Security ( 3 456) 13 (3 062)

Net NPLs 115 (1) 116

Coverage (Gross) 54% 60%

Coverage (Net) 159% 144%

Gross NPLs to averageadvances

4.0% 4.4%

Higher gross NPLs in Africa, Higher gross NPLs in Africa,

London and in Commercial London and in Commercial

Property loansProperty loans

R400m provisions written off R400m provisions written off

against old NPLs in SCMBagainst old NPLs in SCMB

Higher security values in Higher security values in

SCMB, Commercial Property, SCMB, Commercial Property,

Home loans and InternationalHome loans and International

Branch net NPL situation has Branch net NPL situation has

improvedimproved

12

Operating expensesOperating expensesCosts under control, +7%Costs under control, +7%

2,237 2,364

2,033 2,206

0

1,000

2,000

3,000

4,000

5,000

June '00 June '01

Rm

Staff Other

Domestic operations +8%Domestic operations +8% Inflationary increases Inflationary increases

Higher IT and processing spendHigher IT and processing spend

Partly offset by:Partly offset by: Lower staff complement, 546Lower staff complement, 546

Focus on sustainable cost managementFocus on sustainable cost management

Stanbic Africa +4%Stanbic Africa +4% Cost containment across the boardCost containment across the board

International Operations +9%International Operations +9% Currency effectCurrency effect

Increased staffing, 91Increased staffing, 91

9%

6%

13

Cost-to-income ratioCost-to-income ratioConsistent improvementConsistent improvement

64.9

63.162.0 61.6

59.057.8

54

56

58

60

62

64

66

1996 1997 1998 1999 2000 HY2001

%

14

10.6 11.1

2.72.9

02468

10121416

Dec '00 June '01

%

Primary capital Secondary capital

Required capital

13.5* 13.8

Surplus capital primarily in Surplus capital primarily in

hard currencyhard currency

Higher capital requirement in Higher capital requirement in

International OperationsInternational Operations

International acquisition International acquisition

possibilitiespossibilities

Capital adequacyCapital adequacyWell capitalisedWell capitalised

* Restated in line with new regulations

15

Headline earningsHeadline earningsStrong domestic performanceStrong domestic performance

June '01Rm % change

June ‘00Rm

Domestic operations 1 377 25 1 100

Retail Banking 646 30 498

SCMB 490 25 391

Commercial Banking 273 25 219

Central services (32) - (8)

Stanbic Africa 184 20 153

International Operations 276 13 244

Centralised funding (37) - (69)

Standard Bank operations 1 800 26 1 428

Liberty* 220 8 204

Stanbic group 2 020 24 1 632*15% growth in continuing operations

16

Cost-to-income ratioCost-to-income ratioFocus on efficienciesFocus on efficiencies

June ‘01 June ‘00

Domestic operations 57.2% 59.3%

Retail Banking 65.5% 67.9%

SCMB 48.1% 49.1%

Commercial Banking 38.4% 43.9%

Stanbic Africa 54.2% 58.2%

International Operations 62.4% 63.0%

Stanbic group 57.8% 60.9%

17

Capital allocation and returnsCapital allocation and returnsCreating value for shareholdersCreating value for shareholders

June ‘01

Average

equity

Rm

RoE

June ‘00

RoE

Domestic operations 10 440 26% 27%

Retail Banking 5 036 26% 28%

SCMB 3 100 32% 35%

Commercial Banking 2 304 24% 19%

Stanbic Africa 1 136 32% 32%

International Operations 4 508 12% 14%

Centralised funding & Liberty 3 001 12% 10%

Stanbic group 19 085 21% 21%

18

Retail BankingRetail Banking

19

Retail Banking - results highlightsRetail Banking - results highlightsHeadline earningsHeadline earnings up 30% up 30%

Transactional banking businessTransactional banking business Strong revenue streamsStrong revenue streams

New fee structures to influence customer behaviourNew fee structures to influence customer behaviour

Home loansHome loans New business showing stronger growthNew business showing stronger growth

Card businessCard business Re-emerging as core capabilityRe-emerging as core capability

Cost efficienciesCost efficiencies Benefit of cost rationalisation in 2000Benefit of cost rationalisation in 2000

20

Retail BankingRetail BankingBancassurance portfolio showed mixed resultsBancassurance portfolio showed mixed results

Simple productsSimple products Number of policies in force up 53%Number of policies in force up 53%

- Credit life policies 290 000 (+19%)- Credit life policies 290 000 (+19%)

- Funeral policies 260 000 (+125%)- Funeral policies 260 000 (+125%)

Funeral penetration now 10.8% (from 4.5%)Funeral penetration now 10.8% (from 4.5%)

Complex productsComplex products Business 7% up but below budget Business 7% up but below budget

Focus on sales force managementFocus on sales force management

Investment in IT based selling tools Investment in IT based selling tools

21

Retail BankingRetail BankingE-plan and ABIL JV well positionedE-plan and ABIL JV well positioned

Mass market number of transactions and average balances Mass market number of transactions and average balances increaseincrease

Annual E-plan transactions per account up from 35 to 38Annual E-plan transactions per account up from 35 to 38

Average balance up from R717 to R872Average balance up from R717 to R872

African Bank JVAfrican Bank JV 20 000 accounts opened during first 6 months20 000 accounts opened during first 6 months

Gross advances book R88m Gross advances book R88m

Working closely togetherWorking closely together

22

Retail BankingRetail BankingSustained demand for virtual bankingSustained demand for virtual banking

Virtual banking developmentVirtual banking development Majority of home loans originated outside of branch infrastructureMajority of home loans originated outside of branch infrastructure

Auto-E transactions increased by 19% Auto-E transactions increased by 19%

Internet banking customers up 43% to 186 000 Internet banking customers up 43% to 186 000

Internet transaction volumes up 82%Internet transaction volumes up 82%

Internet fee based transactions up 74%Internet fee based transactions up 74%

Call centre volumes up 24%Call centre volumes up 24%

Virtual transactions account for 65% of total volumesVirtual transactions account for 65% of total volumes

bluebean.com being repositionedbluebean.com being repositioned

23

Retail Banking - priorities Retail Banking - priorities

Revenue growthRevenue growth Establish optimal balance between near and long term portfolioEstablish optimal balance between near and long term portfolio

Improve under-performing businessesImprove under-performing businesses

Leverage revenues from partnershipsLeverage revenues from partnerships

- ABIL JV- ABIL JV

- FIHRST payroll intermediary with Alexander Forbes- FIHRST payroll intermediary with Alexander Forbes

- SA Homeloans- SA Homeloans

- Edgars initiative- Edgars initiative

- E-plan expansion with Orlando Pirates and Kaizer Chiefs- E-plan expansion with Orlando Pirates and Kaizer Chiefs

Comprehensive payment product strategyComprehensive payment product strategy

24

Retail Banking - priorities continuedRetail Banking - priorities continued

Cost managementCost management Best Bank Enhancement ProgrammeBest Bank Enhancement Programme

Roll out of Bank at Any CentreRoll out of Bank at Any Centre

Optimisation of channel, product and customer mixOptimisation of channel, product and customer mix

Project execution disciplines extended to non-IT projectsProject execution disciplines extended to non-IT projects

End-to-end process management rules to extract efficienciesEnd-to-end process management rules to extract efficiencies

Customer focusCustomer focus

InvestmentInvestment

25

Retail BankingRetail BankingRated by external groupsRated by external groups

PricewaterhouseCoopers banking surveyPricewaterhouseCoopers banking survey Ranked first by peers in:Ranked first by peers in:

- Retail Lending and Deposits- Retail Lending and Deposits

- Internet Banking- Internet Banking

Euromoney awardsEuromoney awards Standard Bank rated Best Bank in South Africa Standard Bank rated Best Bank in South Africa “…“…, the bank is a match for foreign entrants in retail banking , the bank is a match for foreign entrants in retail banking

technology as well as wholesale payments, clearing and custody...”technology as well as wholesale payments, clearing and custody...”

26

SCMBSCMB

27

SCMB - results highlightsSCMB - results highlightsAll-round contributionAll-round contribution

Headline earnings 25% higherHeadline earnings 25% higher

Costs well contained, +4% Costs well contained, +4%

Retained strong position in chosen markets Retained strong position in chosen markets

Attracted a number of high calibre peopleAttracted a number of high calibre people

28

SCMBSCMBRated by external groupsRated by external groups

PricewaterhouseCoopers banking surveyPricewaterhouseCoopers banking survey SCMB ranked first by its peers in:SCMB ranked first by its peers in:

- Corporate Banking- Corporate Banking

- Foreign Exchange Trading - Foreign Exchange Trading

- Capital Markets, Bonds and Derivatives- Capital Markets, Bonds and Derivatives

- Money Markets- Money Markets

29

SCMBSCMBSuccessful turnaround of under performersSuccessful turnaround of under performers

% change

June 01/00

Revenue

Electronic Banking 73

Custody 30

International Business Centres 35

Total NPBT contribution +R56mTotal NPBT contribution +R56m

30

SCMB SCMB Diversified revenue streamDiversified revenue stream

Corporate and Investment Banking

Structured Finance

Asset Management

Foreign Banking

Treasury (Interest Rate, Gold, Equities)

Other

21% (20%)

20% (25%)

12% (10%)

3% (3%)

14% (14%)

30% (28%)

( ) 30 June ‘00

31

SCMB - prioritiesSCMB - priorities

Developing global product focus with Standard Bank Developing global product focus with Standard Bank LondonLondon

Cost containmentCost containment

Focus on e-CommerceFocus on e-Commerce

Private equity / Leveraged buy outsPrivate equity / Leveraged buy outs

Sustained improvement of equities broking businessSustained improvement of equities broking business

32

Commercial BankingCommercial Banking

33

Commercial Banking - results highlightsCommercial Banking - results highlightsHeadline earnings 25% upHeadline earnings 25% up

Commercial SuitesCommercial Suites More conservative provisioningMore conservative provisioning

Lending flat, but improved asset qualityLending flat, but improved asset quality

Deposit base growingDeposit base growing

StannicStannic Turnover growth in line with market growthTurnover growth in line with market growth

Declining bad debtsDeclining bad debts

CostsCosts Restricted to 2% increaseRestricted to 2% increase

34

Commercial Banking - priorities Commercial Banking - priorities

Commercial SuitesCommercial Suites Forecasting lower bad debts in the second halfForecasting lower bad debts in the second half

Improvement in lending book boosted by lower interest ratesImprovement in lending book boosted by lower interest rates

Continued focus on cross sell opportunitiesContinued focus on cross sell opportunities

Leverage off market leadership in electronic bankingLeverage off market leadership in electronic banking

Continued improvement in customer serviceContinued improvement in customer service

StannicStannic Selective market share gainsSelective market share gains

35

Private BankingPrivate Banking

36

Private Banking - introductionPrivate Banking - introductionNew business opportunityNew business opportunity

Five cornerstonesFive cornerstones

InternationalInternational

Wealth managementWealth management

Melville DouglasMelville Douglas

Consolidated lendingConsolidated lending

Transactional bankingTransactional banking

37

Private BankingPrivate BankingIntegrated offeringIntegrated offering

Standard Bank - Retail

Liberty GroupStandard Bank - Offshore Group

Melville Douglas

Standard EquitiesStandard Private Standard Private

BankBank

SCMB Third party suppliers

Stanbic Africa

38

Private Banking - prioritiesPrivate Banking - priorities

Integrated product offeringIntegrated product offering

Pace of product roll-out and client acquisitionPace of product roll-out and client acquisition

Systems roll-outSystems roll-out

Achieving first class service levelsAchieving first class service levels

Co-ordinating offshore offeringCo-ordinating offshore offering

Contain start-up lossesContain start-up losses

39

International OperationsInternational Operations

40

International Operations - results highlightsInternational Operations - results highlightsDifficult market conditionsDifficult market conditions

Headline earnings 13% upHeadline earnings 13% up

Excellent client driven performanceExcellent client driven performance

Disappointing performance in fixed income activitiesDisappointing performance in fixed income activities

Strong unsettled dealing balance growthStrong unsettled dealing balance growth

Increased ability to hold margin assets on balance sheetIncreased ability to hold margin assets on balance sheet

41

International OperationsInternational OperationsDebt capital marketsDebt capital markets

Client Client businessbusiness Contribution up 74%Contribution up 74%

Key driver - sales Key driver - sales

Strengthened management Strengthened management

TradingTrading Profits down Profits down

Continued uncertainty in emerging marketsContinued uncertainty in emerging markets

Sell-off in US high yield marketSell-off in US high yield market

42

International OperationsInternational OperationsResource bankingResource banking

Earnings stableEarnings stable

Strong growth in precious metals (up 15%) offset by Strong growth in precious metals (up 15%) offset by low activity in base metals and project financelow activity in base metals and project finance

Core energy team, including electricity, now in placeCore energy team, including electricity, now in place

Commodity trade finance contribution up 64% Commodity trade finance contribution up 64%

43

International OperationsInternational OperationsPrivate BankingPrivate Banking

Strong growth in deposit business Strong growth in deposit business

Banking earnings increased 8%Banking earnings increased 8%

Weaker stock broking/investment management/trust Weaker stock broking/investment management/trust and advisory activity in line with the market and advisory activity in line with the market

44

Weather the slowdown in major economies and Weather the slowdown in major economies and uncertainty in emerging economiesuncertainty in emerging economies

Take advantage of widening spreadsTake advantage of widening spreads

Complete the integration of JF Bank Complete the integration of JF Bank

Selective acquisitionsSelective acquisitions

Expand regional focus by adding to current teams and Expand regional focus by adding to current teams and expanding business mixexpanding business mix

International Operations - prioritiesInternational Operations - priorities

45

Stanbic AfricaStanbic Africa

46

Stanbic Africa - results highlightsStanbic Africa - results highlightsChallenging environmentChallenging environment

Headline earnings up 20%Headline earnings up 20%

Modest asset growthModest asset growth

Higher provisionsHigher provisions

Good non-funds income growthGood non-funds income growth

Costs well managed, +4%Costs well managed, +4%

Zimbabwe, Kenya performing poorlyZimbabwe, Kenya performing poorly

47

Stanbic Africa - prioritiesStanbic Africa - priorities

Selective acquisitionsSelective acquisitions

Strategic relationshipsStrategic relationships

New productsNew products

48

Liberty GroupLiberty Group

49

Headline return on equity increased to 24%*Headline return on equity increased to 24%*

Headline earnings up 15%*Headline earnings up 15%*

Embedded value up 13% since DecemberEmbedded value up 13% since December

Total new business increased by 18%Total new business increased by 18%

*On continuing operations

Liberty Group - results highlights Liberty Group - results highlights Performed well over the periodPerformed well over the period

50

StanbicStanbic

51

Stanbic - strategic imperativesStanbic - strategic imperatives

No change since last presentationNo change since last presentation

Move Retail Banking to a higher levelMove Retail Banking to a higher level

New headNew head

Strong resultsStrong results

Develop Standard/Liberty axis furtherDevelop Standard/Liberty axis further

Private BankPrivate Bank

Re-engineering StanfinRe-engineering Stanfin

52

StanbicStanbic

International RoEInternational RoE

Tough conditions - solid performanceTough conditions - solid performance

Selective acquisitions will helpSelective acquisitions will help

Capitalise on complementary capabilities of SCMB, Capitalise on complementary capabilities of SCMB, International, AfricaInternational, Africa

Good progressGood progress

Global business linesGlobal business lines

Attract, retain and deploy the right peopleAttract, retain and deploy the right people