Big bank watch. (Trade Talk).

Net income as of Dec. 31, 2002

DEAR SHAREHOLDER...

* Banco de Credito del Peru

The Peruvian bank showed positive growth throughout 2002, soaring over the rest of Latin America's banks. Peru's No. 1 bank consolidated its lead with the US$50 million acquisition of Santander Central Hispano Peru, the country's fifth-largest bank, in December 2002.

* Banco Itau

The Brazilian bank paid US$932 million for a controlling stake of Brazil's Banco BBA Creditanstalt, becoming the largest corporate bank in the country. The acquired bank was renamed Banco Itau-BBA and holds US$33.8 billion in assets.

* Argentine Banks

Banco de Galicia y Buenos Aires and Banco Rio de la Plate struggled through 2002, suffering millions in losses due to the peso's sharp devaluation, government policies on dollar deposits and loans, as well as frozen bank accounts.

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