Standard Chartered PLC — M&A Activity 2003

Aug 6, 2003

Standard Chartered PLC

The Stock Exchange of Hong Kong Limited takes no responsibility for the contents of this announcement, makes no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

Standard Chartered PLC

(渣打集團有限公司)

(Registered in England and Wales number 966425)

STANDARD CHARTERED ACQUIRES 9.8 PER CENT STAKE IN KORAM

Standard Chartered announces today that it has acquired a 9.76 per cent stake in KorAm Bank for a cash consideration of US$154 million

Standard Chartered announces today that it has increased its stake in KorAm Bank to 9.76 per cent. It has paid a total cash consideration of US$154 million for the 9.76 per cent holding.

The stake of 19.82 million shares has been purchased in two tranches at an average price of 9187 Korean won. An initial acquisition of 3.68 per cent was followed by acquisition today of 6.08 per cent.

KorAm is the sixth largest bank in South Korea with total assets of US$35 billion. It has 224 branches, 42,000 corporate customers and 6.5 million retail customers.

"KorAm is a well-run business with a good management team and a history of foreign ownership," said Standard Chartered Group Chief Executive Mervyn Davies. "This provides Standard Chartered with another foothold in South Korea and gives us further insight into the country's banking market. We have no immediate plans to increase our stake further."

Standard Chartered already operates a Wholesale Banking business in South Korea and is committed to growing a Consumer Banking business in this market.

Standard Chartered first opened in Korea more than 100 years ago. It re-entered the market in 1968 when it was the first European bank to be invited to open a branch in South Korea.

Standard Chartered PLC

07-08-2003

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Standard Chartered PLC

This announcement is made pursuant to paragraph 2.2 of the Listing Agreement.

By Order of the Board
David J. Brimacombe
Company Secretary

Hong Kong, 6th August, 2003

Please also refer to the published version of this announcement in South China Morning Post dated on 07-08-2003.

Standard Chartered PLC
07-08-2003