State Street Expands Investment Servicing Team in North America as Customer Demand for Integrated Services Continues to Grow.

BOSTON -- Appoints Virginia Meany to Key Role within North American Operations 

State Street Corporation (NYSE:STT), the world's leading provider of financial services to institutional investors, today announced the appointment of Virginia Meany to a newly created role as senior vice president within its North American investor services team. Meany, who will report to James S. Phalen, executive vice president and head of State Street's North America investment servicing business, will join State Street later this month.

This appointment comes at a time when State Street has been building upon its leadership position in the North American market. Underpinning this success is State Street's industry-leading array of investment services including custody, fund accounting, fund administration and performance analytics.

Meany joins State Street from JPMorgan Chase where she was president of its worldwide securities services business responsible for mutual fund investment operations. Prior to this position, she held senior roles including head of annuity services at Travelers Life and Annuity and senior vice president at Fidelity Investments, responsible for transfer agency operations and institutional client services. Meany holds a bachelors degree and masters in business administration from Boston College. She serves on the Board of Trustees for NICSA and is currently Vice Chair.

"We're delighted to be expanding our management team with Virginia's appointment," said Phalen. "Her in-depth knowledge of the investment servicing industry - including solutions for complex investment vehicles - will greatly complement our existing intellectual capital and enable us to advance our leadership in this key market for State Street."

In this new role, Meany will be responsible for managing some of State Street's largest North American customer relationships. With operations that span the entire continent, State Street is the leading investment service provider to institutional investors in the region.

"This is an exciting opportunity to build on a world-class franchise at State Street and be part of an industry-leading team," said Meany. "This is an age of tremendous change within our industry and one of increasing complexity for our customers. I'm looking forward to being able to offer innovative solutions to customers as we guide them to meet market challenges and achieve their goals."

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 services. With $10.9 trillion in assets under custody and $1.5 trillion in assets under management as at 30 June 2006, State Street operates in 26 countries and more than 100 geographic markets worldwide. For more information, visit State Street's web site at www.statestreet.com.

This news announcement contains forward-looking statements as defined by United States securities laws, including statements about the financial outlook and business environment. Those statements are based on current expectations and involve a number of risks and uncertainties, including those related to the pace at which State Street adds new clients or at which existing clients use additional services, the value of global and regional financial markets, the pace of cross-border investment activity, changes in interest rates, the pace of worldwide economic growth and rates of inflation, the extent of volatility in currency markets, consolidations among clients and competitors, State Street's business mix, the dynamics of markets State Street serves, and State Street's success at integrating and converting acquisitions into its business. Other important factors that could cause actual results to differ materially from those indicated by any forward-looking statements, are set forth in State Street's 2005 annual report on Form 10-K, particularly in Item 1A, "Risk Factors," and the Corporation's subsequent SEC filings which should be read before making any investment decision. The forward-looking statements contained in this press release speak only as of the date hereof, September 12, 2006, and the Corporation will not undertake efforts to revise those forward-looking statements to reflect events after this date.