HSBC Insurance Services Appoints Two New Senior Executives to Lead Growth Initiatives.

BRIDGEWATER, N.J. -- HSBC Insurance Services, a unit of HSBC North America Holdings Inc., announced today it has appointed two executives to new leadership positions. Richard Klesse has been named managing director, insurance sales and business development and Mitchell Katcher joins as group director for product development and marketing. Both executives will be based in the Bridgewater, N.J. headquarters of the Insurance Services organization and will report directly to Pat Cozza, group executive, Insurance Services and Taxpayer Financial Services.

Klesse, a veteran of HSBC with a wealth of client relations expertise, will be responsible for all of Insurance Services' core insurance sales and related new business development. Klesse has been with HSBC since 1971 serving in a variety of leadership roles. He was most recently managing director for HSBC Retail Services, where he managed business partner activities for the private label credit card business. Klesse holds a master's in business administration from Rutgers Graduate School of Business and a bachelor of arts in economics from Rutgers College.

A seasoned insurance executive, Katcher joins HSBC from Phoenix Life Insurance where he was a senior vice president, life and annuity product development. Prior to Phoenix Life, Katcher was an executive vice president with Golden American Life Insurance Company. He also held positions at Tillinghast Towers Perrin and Monarch Financial Services Inc. In this newly created position, Katcher will be responsible for developing the overall Insurance Services product development and sourcing strategy as well as identifying and aligning resources to capitalize on best growth opportunities. He will also be responsible for external market analysis and developing a competitive distribution platform across North America for HSBC. Katcher holds a bachelor of arts in actuarial science from the College of Insurance now referred to as the School of Risk Management, Insurance and Actuarial Science, part of St. John's Peter J. Tobin College of Business.

"Both Richard and Mitchell bring a tremendous amount of financial services expertise and will be key members of our leadership team as we expand the insurance services offerings," Pat Cozza said. "These recognized industry leaders are positioned to effectively guide the company as we build new distribution channels and broaden the reach of our products to current and new customers."

Media inquiries to Francine Minadeo at [e-mail] or on 212-525-8737.

About HSBC North America Holdings Inc.

HSBC - North America comprises all of HSBC's U.S. and Canadian businesses, including the former Household International businesses. The company's businesses serve nearly 60 million customers in five key areas: personal financial services, consumer finance, commercial banking, private banking and corporate investment banking and markets. Financial products and services are offered under the HSBC, HFC and Beneficial brands. For more information, visit: www.hsbcusa.com.

HSBC Insurance Services

HSBC Insurance Services offers credit life, disability and unemployment, accidental death and disability, term life, whole life, annuities, disability, long term care and a variety of other specialty insurance products to customers in the United States and Canada.