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Banco Santander Puerto Rico to Discontinue Auto Financing

14 June 2000

Banco Santander Puerto Rico to Discontinue Auto Financing

    SAN JUAN - Santander BanCorp, the holding company of Banco Santander Puerto 
Rico, announced its decision to withdraw from the auto financing business 
effective June 30, 2000 as part of its strategy to develop business in other 
sectors.

    Juan Arenado, Banco Santander Puerto Rico's President and Chief Executive
Officer, said "We want to continue to create value for our stockholders and
clients by dedicating our attention to those areas that offer greater
profitability and lower risk."

    Banco Santander Puerto Rico's automobile loan portfolio totals
approximately $207 million and it will be maintained until all of the loans
have been liquidated.  Although the institution will not remain active in this
line of business in the market in general, it will continue to offer this kind
of financial service to its existing clients.

    Arenado noted that the "Delinquency rate of 6% in this portfolio is one of
the lowest in the market for its category".  He again stressed the importance
of having the bank concentrate its efforts in other areas of business more
attuned to banking reform and the changes taking place in the industry.

    Banco Santander Puerto Rico's shares are traded in the New York Stock
Exchange and Latibex, the new stock market for the trading of Latin American
shares in euros in the Madrid Stock Exchange.  Banco Santander Puerto Rico, a
subsidiary of Santander BanCorp, has been operating in Puerto Rico for 24
years and is the second largest banking institution on the island.  It offers
a full array of services in the areas of commercial, mortgage and consumer
banking, supported by a team of over 1,700 employees.  The Bank has 77
branches in Puerto Rico, 15 of which are fully automated branches that operate
under the name "Red Express."

    Banco Santander Central Hispano, S.A. (Spanish stock exchange: SCH;
NYSE: STD), the leading financial group in Spain and Latin America and one of
the largest banks by market capitalization in the Euro Zone, owns 80.5% of the
outstanding shares of Santander BanCorp.  According to its balance sheet as of
March 31, 2000, Banco Santander Central Hispano, S.A. had US$339 billion in
total managed funds and US$258 billion in assets, with 24 million clients and
operations in 37 countries, including all of the world's major financial
centers.  Banco Santander Central Hispano offers a wide range of commercial
and consumer banking services in Europe and Latin America through its over
8,300 offices and more than 94,000 employees.  The Bank is first in total
assets in the region and is among the leaders in managing funds in Europe and
Latin America, with more than $13 billion in mutual and pension funds under
management.