GFNorte 1 Q 04 1 Agenda 1

GFNorte 1 Q 04 1

Agenda 1. GFNorte 2. Banking Sector 3. Long Term Savings Sector 4. Economic Outlook 5. Final Remarks 2

GFNorte 3

Gfnorte Highlights 1 Q 03 Net Income Annualized ROE Stock Price 529 1 Q 04 6% 17. 5% 24. 99 559 16. 2% 76% 43. 93 EPS 1. 06 1. 11 P/BV 1. 01 1. 59 Capitalization Ratio 13. 4% 15. 4% Loan growth w/o Fobaproa/IPAB 44. 3% 19. 2% 5. 6% 4. 8% 127. 2% Past due loan ratio w/o Fobaproa/IPAB Reserve Coverage NET INCOME IN MILLIONS OF PESOS AS OF 1 Q 04. EPS & BOOK VALUE ARE PESOS PER SHARE. BOOK VALUE EXCLUDES MINORITY HOLDINGS. 4

GFNorte’s Core Income ROE (*) CETE DIFFERENCE 1996 21. 0% 31. 4% 1997 29. 1% 19. 9% 1998 21. 5% 24. 4% 1999 15. 1% 21. 6% 2000 20. 7% 15. 3% 5. 4 2001 17. 2% 11. 4% 5. 8 2002 15. 6% 7. 1% 8. 7 2003 17. 5% 6. 3% 11. 2 1 Q 04 16. 2% 5. 6% 10. 6 (Millions of Pesos) 2, 256 1, 716 1, 326 801 1, 679 1, 713 1, 446 968 529 1 Q 03 '96 '97 '98 '99 '00 '01 '02 2003 559 1 Q 04 EXTRAORDINARY INCOME NOT INCLUDED IN THE CHART : (MILLIONS OF PESOS) 1997: PS 809, 1998 : PS 492, 2000: PS 249 AND 2002: PS 417. (*) 28 DAY CETE RATE. 5

Total Customers (Millions) 8. 2 1. 5 6. 0 0. 6 1. 7 2. 8 6. 9 8. 6 2. 8 0. 9 2. 6 2. 4 3. 0 3. 4 3. 9 4. 1 2002 2003 1 Q 04 Bank Afore Insurance 6

Total Resources from Customers (Billions of Pesos) 407 416 132 150 164 27 32 35 226 225 217 2002 2003 1 Q 04 385 264 107 21 136 2001 Bank Asset Management Brokerage 7

Profit Contribution to GFNorte Banking Sector 2001 2002 2003 1 Q 04 Net Interest Income 75% 74% 68% 62% Non Interest Income 25% 26% 32% 38% Total Revenues Non-Interest Expense and Other 100% (66)% 100% (73)% 100% (76)% 100% (78)% Provisions (14)% (7)% (4)% (3)% 17% (2)% 17% (1)% 16% (3)% 15% 92% 88% 86% 80% 6% 2% 8% 4% 10% 5% 14% 5% 100% Taxes & Profit Sharing Net Income GFNorte Banking (1) Long Term Savings Brokerage Total Net Income (1) INCLUDES BANKING SECTOR, AUXILIARY ORGANIZATION SECTOR AND HOLDING. 8

Profitability (Millions of Pesos) 1 Q 03 ROE ROA Dividends paid Pay out ratio Yield 3 Q 03 4 Q 03 1 Q 04 529 12, 312 204, 736 557 13, 000 213, 255 591 13, 463 218, 384 579 13, 697 216, 789 559 13, 919 211, 931 17. 5% 1. 0% 17. 6% 1. 1% 17. 9% 1. 1% 17. 0% 1. 1% 16. 2% 1. 0% 3 Q 02 Net Income Equity Assets 2 Q 03 3 Q 03 500 33% 4% 353 18% 2% DIVIDEND POLICY v A minimum of 15% payout ratio on the recurrent net income of GFNorte, has been decreed by the Board, subject to no legal hinder, market conditions and the Group financial situation. 9

Stock Performance 1 Q 03 2 Q 03 3 Q 03 4 Q 03 1 Q 04 Price (Pesos/share) - end of period 25. 0 29. 5 33. 2 39. 0 43. 9 Number of Shares Outstanding (*) 500 503 505 505 1, 160 1, 420 1, 521 1, 751 1, 990 1. 8 2. 1 2. 6 2. 3 6. 6 Earning per Share 1. 06 1. 11 1. 17 1. 15 1. 11 P/BV (times) 1. 01 1. 14 1. 24 1. 44 1. 59 P/E (times) 5. 90 6. 66 7. 08 8. 50 9. 91 - 18% 22% 33% 30% 56% 50% 76% 70% Market Cap (Millions of USD) Daily Volume (Millions of USD) GROWTH VS 1 Q 03: PESOS USD (*) MILLIONS. 10

Price/Earnings 2000 -2004 30 Bolsa 25 Average = 18. 76 20 18. 04 15 GFNorte 10 9. 34 Average = 6. 49 5 0 JAN 00 JUN 00 JAN 01 JUN 01 SOURCE: BANORTE’S BROKERAGE HOUSE AS OF MAY 6 th, 2004 JAN 02 JUN 02 JAN 03 JUN 03 JAN 04 11

Price/Book Value 2000 -2004 3. 5 3. 0 2. 5 Average = 2. 02 Bolsa 2. 0 1. 5 1. 97 1. 54 Average = 1. 12 1. 0 GFNorte 0. 5 0. 0 JAN 00 JUN 00 JAN 01 JUN 01 SOURCE: BANORTE’S BROKERAGE HOUSE AS OF MAY 6 th, 2004 JAN 02 JUN 02 JAN 03 JUN 03 JAN 04 12

9. 8 Apr 23/04 Apr 7/04 Mar 26/04 Mar 12/04 Feb 27/04 Feb 13/04 Jan 30/04 Jan 16/04 Jan 2/04 Dec 19/03 Dec 5/03 Nov 21/03 Nov 7/03 Sep'03 Jul'03 May'03 Mar'03 Jan'03 Nov'02 Sep'02 Jul'02 May'02 Mar'02 Jan'02 Market Trend of IPC, GFNORTE, GFB (Monthly) JAN ’ 02 – APR ’ 04 IPC 44% 9, 948. 1 6, 928. 0 GFNORTE 97% 40. 4 20. 5 12. 0 GFB 22% 13

Recent Events v February 2004: New CEO. v 4 Q 03: Acquisition of 51 % of Generali Mexico. v 1 Q 04: USD 300 Million Non Convertible Subordinated Debt issuance. v April 2004: First among banks as ”The best companies to work for” (Expansión). v April 2004: Best in "Mexican Business Reputation Index 2004" (Transparencia Mexicana & Mitofsky). 14

Banking Sector 15

Balance Sheet (Billions of Pesos) 1 Q 03 2 Q 03 3 Q 03 4 Q 03 1 Q 04 Cash and due from Banks Loan portfolio Fobaproa/IPAB Loan loss reserves Other Total Assets 37 64 90 (5) 14 201 41 68 89 (5) 15 208 45 71 86 (5) 16 213 50 75 77 (4) 14 211 47 75 74 (5) 15 206 Traditional Deposits Money Market Deposits Other Total Liabilities 87 74 29 189 90 66 40 196 92 74 35 201 100 65 33 198 95 65 33 193 Stockholder´s Equity Liabilitites + Equity 12 201 12 208 12 213 13 211 13 206 % FOBAPROA - IPAB / total loans 58% 57% 55% 51% 50% 16

Loans vs Fobaproa - IPAB (Billions of Pesos) Loan Portfolio Fobaproa / IPAB Notes 153(*) 152 147 59% 105 149 51% 50% 2003 1 Q 04 66% 43 71% 21% 1996 1997 2001 2002 NET OF FOBAPROA CHECKING ACCOUNT AND LOSS SHARING PROVISIONS. (*) IT EXCLUDES THE BRIDGE LOAN TO SOCIEDAD HIPOTECARIA FEDERAL AND THE LOAN SALE TO SOLIDA ADMINISTRADORA DE PORTAFOLIOS IN 2003 FOR A TOTAL OF Ps 8. 8 BILLION. 17

Loan Portfolio (Billions of Pesos) 74. 6 74. 7 4 Q 03 1 Q 04 63. 8 1 Q 03 4 Q 03 1 Q 04 Commercial Corporate Consumer Government Sub Total Recovery Bank 17. 9 17. 4 17. 6 6. 9 59. 9 3. 9 23. 4 15. 5 23. 0 9. 3 71. 2 3. 4 24. 0 13. 4 24. 4 9. 6 71. 4 3. 3 TOTAL 63. 8 74. 6 74. 7 THE TRADITIONAL LOAN PORTFOLIO EXCLUDES FOBAPROA / IPAB NOTES. VARIATION Q on Q Y on Y 3% 34% (13)% (23)% 6% 39% 3% 38% 0. 3% 19% (3)% (15)% 0. 1% 17% 18

Consumer and Mortgage Loan Portfolio (Billions of Pesos) 23. 0 24. 4 4 Q 03 1 Q 04 17. 6 1 Q 03 VARIATION Q on Q Y on Y 8% 50% 1 Q 03 4 Q 03 1 Q 04 Car loans 3. 7 5. 1 5. 5 Credit cards 1. 9 2. 9 3. 0 5% 57% Payroll loans 0. 7 1. 2 1. 5 18% 117% Mortgage 11. 4 13. 8 14. 4 5% 26% Total Consumer 17. 6 23. 0 24. 4 6% 39% 19

Core Deposits (Billions of Pesos) Core Deposits Demand Deposits Time Deposits Total 1 Q 03 55 32 87 2 Q 03 58 33 90 3 Q 03 59 33 92 4 Q 03 67 33 100 1 Q 04 62 33 95 63% 37% 64% 36% 67% 33% 65% 35% 100% 100% Deposit Mix Demand Deposits Time Deposits Cost of core deposits (% of 28 Day Cetes Rate) 45. 0% 37. 0% 34. 0% 28. 0% Deposit Growth (1 Q 04 vs 1 Q 03) 13. 7% 9. 7% 2. 8% 1 Q 03 2 Q 03 END OF PERIOD FIGURES. 3 Q 03 4 Q 03 1 Q 04 Demand Time Deposits Total 20

Banorte’s Market Share BILLIONS OF PESOS. MARCH 2004 Branches Total Deposits Total Loans Tot. 160 $19. 6 $7. 6 M. S. 17. 9 14. 2 16. 1 4° 4° 3° Tot. 159 $28. 2 $8. 4 M. S. 16. 1 15. 0 17. 3 4° 3° 3° CENTRAL SOUTH Tot. M. S. 12. 5 10. 4 12. 2 NORTHWEST Branches Total Deposits Total Loans 85 $13. 0 $3. 3 Tot. 170 $55. 9 $21. 2 MONTERREY CENTRAL GULF Branches Total Deposits Total Loans MEXICO CITY Branches Total Deposits Total Loans 5° 5° 5° Branches Total Deposits Total Loans Tot. 136 $28. 9 $8. 3 1° 1° 1° M. S. 24. 2 1° 27. 9 1° 33. 2 1° Tot. 234 $56. 9 $20. 3 M. S. 14. 0 6. 8 6. 1 5° 6° 6° GRO PENINSULAR NATIONAL M. S. 24. 5 38. 1 22. 8 TOTAL 1, 021 $211. 1 $ 74. 2 M. S. 15. 2% 4° 11. 8% 5° 12. 2% 4° Branches Total Deposits Total Loans Tot. 77 $8. 3 $2. 9 M. S. 19. 0 12. 3 16. 1 3° 4° 4° 21

Asset Quality (Billions of Pesos) 1 Q 03 Past Due Loans 3. 6 Loan Loss Reserves 4. 5 Past Due Loan Ratio (exc. FOBA/IPAB) 5. 6% Reserve Coverage 127. 2% 2 Q 03 4. 0 4. 7 6. 0% 115. 9% 3 Q 03 4 Q 03 3. 5 3. 6 4. 5 4. 4 5. 0% 4. 8% 127. 6% 121. 7% 1 Q 04 3. 6 4. 8% 127. 2% Reserve Coverage 127. 2% 115. 9% 1 Q 03 2 Q 03 127. 6% 121. 7% 127. 2% 3 Q 03 1 Q 04 4 Q 03 22

Asset Quality-Banking Sector (Billions of Pesos) 2001 2002 2003 1 Q 04 5. 0 3. 6 - - 1. 5 1. 4 Total 5. 0 5. 1 5. 0 Total Loans w/o FOBAPROA/IPAB(*) 42. 4 71. 6 74. 5 74. 6 Loan Loss Reserves (*) 4. 7 5. 6 5. 7 Reserve Coverage 94. 7% 111. 6% % Past Due Loans to Total Loans (1) 11. 8% 7. 0% Past Due Loans BANORTE Past Due Loans SOLIDA 109. 9% 112. 9% 6. 8% 6. 7% (*) 2003 AND 1 Q 04 INCLUDE LOANS SOLD TO SOLIDA. (1) EXCLUDING FOBAPROA / IPAB. 23

Impact of Fobaproa IPAB pre-payments v Pre-payments can be replaced by higher yielding loans. v Impact with pre-payments in full and no new loans = Ps 72 million. FOBAPROA – IPAB BALANCE AS OF MAR 2004 YIELD MATURITY BANCEN - BANPAIS 21. 5 TIIE + 85 bp 2010 BANCRECER 46. 2 TIIE + 40 bp 2009 6. 7 CETES – 135 bp BANORTE 2005/2006 74. 4 2002 PRE-PAYMENTS 2003 7. 7 10. 0 1 Q 04 1. 4 2 Q 04(E) 2. 5 Billions of Pesos 24

Non Interest Income (Billions of Pesos) 3. 9 3. 0 2. 3 34% 27% 0. 8 1. 2 2001 2002 2003 1 Q 04 Service 0. 9 2. 1 2. 2 0. 5 0. 7 Recovery 1. 0 0. 7 0. 8 0. 1 Trading 0. 3 0. 9 0. 2 0. 4 TOTAL 2. 3 3. 0 3. 9 0. 8 1. 2 25

Non Interest Income % NON INTEREST INCOME TO TOTAL REVENUES 25. 8% 2001 26. 0% 2002 28. 3% 29. 7% 2003 1 Q 04 % NON INTEREST INCOME TO NON INTEREST EXPENSE 31. 6% 27. 7% 2001 32. 7% 29. 4% 2002 TOTAL REVENUES = NET INTEREST INCOME + NON INTEREST INCOME AND TOTAL REVENUES EXCLUDE TRADING. 2003 1 Q 04 26

Non Interest Expense (Billions of Pesos) 2001 2002 2003 1 Q 04 Personnel 3. 3 4. 4 4. 3 1. 1 O&A 1. 9 2. 4 0. 6 VAT & IPAB 1. 0 1. 3 1. 4 0. 3 Rent, depreciation & amortization 0. 8 1. 2 1. 4 0. 4 6. 9 9. 3 9. 5 2. 5 92. 8% 83. 9% 80. 9% 76. 1% Efficiency Ratio 27

Transactions’ Trend Million Transactions per month 15 24. 4 27. 2 CAGR: 22% Electronic Banking 71% 74% Branches 29% 26% 2001 2002 2003 28

Recovery Bank Assets Under Management (Billions of Pesos at Face Value) 65 Banorte risk (owned + auctions) 18 Serfin Portfolio 20 IPAB Portfolio (servicing) 60 59 17 21 21 14 14 17 58 27 26 24 23 2001 2002 2003 1 Q 04 29

Capitalization (Billions of Pesos) Net Capital 1 Q 03 2 Q 03 3 Q 03 4 Q 03 1 Q 04 Tier 1 Tier 2 10. 8 2. 4 11. 3 2. 5 11. 7 2. 5 11. 9 2. 5 12. 0 5. 7 Total 13. 2 13. 7 14. 3 14. 4 17. 7 Total risk assets Credit risk Market risk 76. 9 21. 7 80. 1 20. 8 82. 1 21. 1 85. 6 27. 7 83. 4 31. 6 Total 98. 6 100. 9 103. 2 113. 3 115. 1 10. 9% 2. 4% 13. 4% 11. 2% 2. 4% 13. 6% 11. 4% 2. 4% 13. 8% 10. 5% 2. 2% 12. 7% 10. 5% 5. 0% 15. 4% Total Capitalization Ratio Tier 1 Tier 2 Total 30

Long Term Savings Sector 31

Long Term Savings Sector AFORE Assets under Management (Billions of Pesos) 25. 2 27. 1 (Millions of Customers) 2. 4 1. 2 1. 4 2. 6 2. 8 1. 6 20. 3 15. 8 10 3. 8 5 6. 7 10. 3 1998 1999 2000 2001 2002 2003 1 Q 04 MARKET SHARE 2002 GFNORTE’S PROFIT CONTRIB. 2003 1 Q 04 2002 2003 1 Q 04 9. 9% 10. 3% 10. 4% 6. 2% 5. 0% 6. 9% 32

Long Term Savings Sector INSURANCE Gross Written Premiums (Billions of Pesos) 1. 8 1. 4 0. 8 0. 9 1. 0 0. 9 0. 4 1998 1999 2000 2001 2002 2003 1 Q 04 MARKET SHARE 2002 1. 3% 2003 1. 6% GFNORTE’S PROFIT CONTRIB. 2002 2003 1 Q 04 2. 0% 3. 5% 3. 0% 33

Economic Outlook 34

Economic Enviroment v Mexico´s economy experienced higher growth during 1 Q 04. - It was led by consumption and exports. - Job creation was a welcome sign particularly in the maquila sector. - However investment continues lagging. v Macroeconomic fundaments remain solid. - Public finances registered a surplus in 1 Q 04. - Proactive debt management provides for a shield as interest rates rise. - International reserves are at all time high. - Current account deficit is being financed mostly by FDI. v Inflation expectations are converging to BANXICO´S upper limit. - Tighter monetary policy is expected throughout 2004. - Peso has depreciated 5% during this year. - Consumer Inflation rate during May was favorable eventhough this indicator is worri-some at the manufacturing level. v Political conditions remain complex. -Do not expect any structural reforms being passed in the second half of 2004. -17 state and municipal elections are to be held from May till November. 10 of them are for governor. 35

Macroeconomic Environment 2002 2003 2004 GDP 0. 9% 1. 3% 3. 5% Inflation 5. 7% 4. 0% 28 days Cete rate (End of the year) 6. 9% 6. 0% 6. 6% 28 days Cete rate (Average) 7. 1% 6. 2% 6. 1% Peso exchange rate (End of the year) 10. 31 11. 24 11. 55 SOURCE: BANORTE’S BROKERAGE HOUSE AS OF MAY, 2004 36

Final Remarks 37

Final Remarks Short Term : Focus on core variables and existing markets. 1. DEFEND STRATEGIC MARKETS. 2. PURSUE HIGH GROWTH STRATEGY ON LOW MARKET SHARE AREAS. New Branches. Branch Redeployment. ATMs. Target: SMES through agile credit decisions & Non Target industries. 3. EXPLOIT ENTRY BARRIERS IN CONSUMER LOANS: DISTRIBUTION. 4. OPTIMIZATION OF FUNDING MIX: DEMAND DEPOSITS. 5. OPERATING EFFICIENCY PROGRAM. Branch utilization - revenues. Integration and staff expenses. 6. ENHANCE CROSS SELLING RATIOS. Bancassurance. Loans and core deposits. 7. REDUCE DEPENDENCE FROM IPAB. 38

Final Remarks Long Term: Value added customer solutions through comprehensive product offering. 1. 2. EXISTING CUSTOMERS: DEEPENING RELATIONSHIPS. Retention. Innovation. Closeness to customer. 2. NEW CUSTOMERS: MARKET PENETRATION. New markets - low banking penetration. - 9 million credit cards - Use of cash - 35% of Banking Penetration Conversion of “under - banked “ population : Afores. Hispanic markets in the U. S. : Bi-national Products. Explore un-banked segments 3. ATTAIN AN EFFICIENCY RATIO COMPARABLE TO MAIN COMPETITORS. 39

Final Remarks C U S T O M E R S New Current Market Share Cross Selling Current Product & market development Market development New PRODUCTS 40

GFNorte 1 Q 04 41