State Street Appointed as Investment Service Provider to Mexico's Pro

State Street Appointed as Investment Service Provider to Mexico's Profuturo GNP

    Business Editors

    BOSTON--(BUSINESS WIRE)--Jan. 6, 2005--

Mandate Highlights State Street's Expertise in Servicing Needs of Developing Pension Systems Around the World
    State Street Corporation (NYSE:STT), the world's leading provider of services to institutional investors, announced today that it has been appointed by Profuturo GNP ("Profuturo") to provide a range of global investment services. Profuturo is Mexico's largest locally-owned pension fund administrator, and the third largest Mexican pension manager overall, with more than $4 billion in assets.
    State Street will provide a range of fully integrated investment services, including global custody and accounting, to support the retirement needs of Mexican workers. Mexico first privatized its pension system in 1997 and earlier last year announced that it would allow the nation's pension funds to invest part of their $40 billion of assets in global stock markets and bonds.
    "We are delighted to welcome Profuturo to our expanding roster of clients in Latin America," said Lee Jones, senior vice president and head of State Street's Latin America investor services business. "This is an important milestone for State Street in terms of establishing our servicing presence in Mexico and we look forward to building on this foundation in tandem with Mexico's growing pension system."
    Following State Street's acquisition of Deutsche Bank's global securities services businesses in 2003, the company significantly expanded its client base in Latin America. It now services more than 20 local institutional investors representing pension funds, central banks and public sector clients throughout the region.
    "We went through a thorough due diligence process to select our service provider," said Eduardo Reyes Esparza, chief investment officer of Profuturo. "State Street's proven expertise and clear leadership in servicing the complex needs of pension systems around the world were major factors in their appointment as our provider of choice."
    Profuturo is a member of Grupo Nacional Provincial, S.A. ("GNP") - one of the leading insurance companies in Mexico, with more than 100 years of experience and a high level of stability with regard to insurance, pensions and health services. Profuturo and GNP are part of Grupo BAL, a diversified business conglomerate that includes Grupo Palacio de Hierro, Mexico's most prestigious department store, and mining group Penoles, the world's top producer of refined silver, metallic bismuth and sodium sulfate and the leading Latin American producer of refined gold, lead and zinc.

    State Street Corporation (NYSE: STT) is the world's leading specialist in providing institutional investors with investment servicing, investment management and investment research and trading. With $9.0 trillion in assets under custody and $1.2 trillion in assets under management, as of September 30, 2004, State Street operates in 24 countries and more than 100 markets worldwide. For more information, visit State Street's Web site at www.statestreet.com.

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CONTACT: State Street Corporation Hannah Grove, 617-664-3377

KEYWORD: MASSACHUSETTS INDUSTRY KEYWORD: BANKING SOURCE: State Street Corporation

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