Edgar Filing: BBVA BANCO FRANCES SA

Form 6-K

FORM 6-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Report of Foreign Issuer

Pursuant to Rule 13a-16 or 15d-16

of the Securities Exchange Act of 1934

For the month of February 2009

Commission File Number: 001-12568

BBVA French Bank S.A.

(Translation of registrant’s name into English)

Reconquista 199, 1006

Buenos Aires, Argentina

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F X Form 40-F

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes No X

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes No X

Indicate by check mark whether by furnishing the information contained in this Form, the Registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:

Yes No X

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): N/A

BBVA Banco Francés S.A.

TABLE OF CONTENTS


Item
1.	Press release entitled “BBVA Banco Francés reports fourth quarter earnings for fiscal year 2008”	1

LOGO

CONTACT:

Daniel Sandigliano

Investor Relations

Phone: (5411) 4341-5036

E-mail: daniel.sandigliano@bancofrances.com.ar

Cecilia Acuña

Investor Relations

Phone: (5411) 4348-0000 ext. 25384

E-mail: cecilia.acuna@bancofrances.com.ar

February 12, 2009

BBVA BANCO FRANCÉS (NYSE: BFR.N; BCBA: FRA.BA; LATIBEX: BFR.LA)

REPORTS CONSOLIDATED FOURTH QUARTER EARNINGS FOR FISCAL YEAR 2008

Annual Executive Summary

During fiscal year 2008, BBVA Banco Francés’ results grew 36.8% with respect to the results obtained in the previous fiscal year. Net income reached Ps. 321.5 million in the last twelve months representing a 15.6% rate of return on equity (ROE). The improvement in the results of the Bank was the result of greater businesses volumes which allowed an improvement in the income from the private sector.

Private sector financings grew by 10.0% during fiscal year 2008, below the growth shown in the previous fiscal year. This drop in the rate of growth of credit activity is related to a reduction in the money demand during the course of the year. The retail segment led the increases during the year with important growth in all types of loans. Financings to business corporation segment grew at a smaller rate than the increase of loans to individuals during the same period.

The deepening of the international crisis in the last part of the year along with the argentine pension regime reform requiring the transfer of private pension founds to the state, derived in a slowdown of the economic activity and a raise in the country risk. In this sense, valuations of argentine government securities were affected. For this reason, BBVA Banco Francés decided to make a revaluation of its government securities portfolio and a revision of its reserve policy. In the month of December extraordinary adjustments were made in the valuations of government securities, Bogar 2020, by $ 322.1 million. To such aim, a relocalization of the generic provisions excess in the loan portfolio by $ 70.0 million and a specific treatment to provisions relating to other contingencies by $ 128.2 million was carried out.

It is important to emphasize that the international financial crisis that is affecting in a generalized manner the global financial organizations, has not had the same impact in the local financial system due to the absence of exposure to assets commonly denominated as “toxics” and existing in other countries.

The Net Financial Income, without considering the mentioned valuation adjustment in public assets, reached Ps. 1,378, 9 million, a 39.9% increase over the comparable income during previous fiscal year. Furthermore, the operating income for 2008 without the described adjustment, reached Ps. 885.1 million, growing by 43.5% with respect to the comparable result in 2007. On the other hand, the greater transactional volume is reflected in an annual growth of 31.1% in the income from services.

The strength in the quality of portfolio ratios continues differentiating BBVA Banco Francés in the local financial system, where it continues as the leading bank. As of December 31, 2008, the nonperforming loans represented 0.97% of total loans, whereas the coverage ratio for non-performing loans with provisions reached 177.0%.

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In term of liabilities, deposits grew by 15.2% in 2008, surpassing the 11.2% increase registered in the financial system during the same period. In this sense, on demand deposits were those with greater growth, increasing their participation in total deposits and allowing BBVA Banco Francés to reach a less expensive structure of deposits.

BBVA Banco Francés has a comfortable liquidity position y and a great solvency level. As of December 31, 2008, liquid assets—available cash and due from banks plus Central Bank Instruments—represented 34.2% of total deposits. On the same date, total shareholders’ equity reached Ps. 2,076 million, whereas excess capital over the minimum required pursuant to Central Bank regulation, was Ps. 888.6 million, representing 42.8% of total shareholders’ equity.

Condensed Income Statement (1)


*in thousands of pesos except income per share, income per* *ADS and percentages*	FY 2008		FY 2007		% Change
Net Financial Income	707,476		939,930		-24.73	%
Provision for loan losses	(36,708	)	(62,262	)	-41.04	%
Net income from services	748,779		571,354		31.05	%
Administrative expenses	(1,135,834	)	(877,800	)	29.40	%
Operating income	283,713		571,222		-50.33	%
Income (loss) from equity investments	63,106		41,784		51.03	%
Income (Loss) from Minority interest	(5,203	)	(627	)	729.82	%
Other Income/Expenses	(7,532	)	(368,086	)	-97.95	%
Income tax	(12,574	)	(9,244	)	36.02	%
Net income for the period	321,510		235,049		36.78	%
Net income per share (2)	0.68		0.50		36.78	%
Net income per ADS (3)	2.05		1.50		36.78	%

(1)	Exchange rate: 3.4537 Ps. = 1 US$

(2)	Assumes 471,361,306 ordinary shares outstanding.

(3)	Each ADS represents three ordinary shares.

Quarter Executive Summary

•

Income from private sector continued growing. During the fourth trimester of the year, the financial income, after the valuation adjustment in public assets, grew by 21.6% with respect to the previous quarter and by 31.0% with respect to the same quarter of 2007, while income from services grew by 13.7% with respect to the previous quarter and by 39.8% with respect to the same quarter of 2007.

•

The private sector financings grew by 0.7% during the fourth quarter of 2008. The retail segment showed an increase, mainly in credit card financings and from personal and car loans. On the contrary, financings in the business corporations segment decreased during the same period.

•

During the fourth quarter of the year, BBVA Banco Francés’ deposits grew by 10.3%, while deposits in the financial system dropped by 2.9% during the same period. The balances in on demand deposit accounts showed the greater growth, increasing their participation in the total of deposits. As of December 31, 2008, these deposits represented 54.8% of the total, allowing BBVA Banco Francés to reduce the impact of higher interest rates levels.

•

Total exposure to the Public Sector, net of holdings linked to reverse repo transactions with the BCRA, was reduced by 15.3% during the last three months of 2008 and by 33.5% during the 2008 year. As of December 31, 2008, the exposure to Public Sector National Treasure, net of holdings linked to reverse repo transactions with the BCRA, represented 8.5% of the Bank’s total assets.

•

Net Income during the fourth quarter was affected by the impact from extraordinary events which reduced the profit during this period. For a better analysis, the following “pro forma” table presents the adjustments made during the fourth quarter of 2008.

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Condensed Income Statement PROFORMA


	Quarter ended
*in thousands of pesos*	12/31/2008 Before adjustments		Extraordinary adjustments		12/31/2008 Standardized
Net Financial Income	310,808		(322,057	)	(11,249	)
Provision for loan losses	(34,184	)	70,000		35,816
Net income from services	218,876		—		218,876
Administrative expenses	(319,283	)	—		(319,283	)
Operating income	176,217		(252,057	)	(75,840	)
Income (loss) from equity investments	14,071		(31,094	)	(17,023	)
Income (Loss) from Minority interest	(2,467	)	—		(2,467	)
Other Income/Expenses	(13,514	)	128,196		114,682
Income tax and Minimum Presumed Tax	(3,573	)	—		(3,573	)
Net income for the period	170,734		-154,955		15,779

Forth quarter of fiscal year 2008

During the fourth quarter of 2008, the pace of growth in economic activity showed a deceleration. Economic activity indicators, such as industrial activity and construction, increased by less than the Monthly Estimator of Economic Activity which rose by 5.8% year over year during the fourth quarter of 2008.

Economic activity deceleration and lower agricultural prices had a negative impact on tax collections and the primary fiscal surplus of the National Public Sector. Fiscal revenues rose on average by 24.9% year over year during the fourth quarter. Value added tax and export duties were the most affected. The primary fiscal surplus of the National Public Sector decreased by 26.3% compared to the same period of 2007.

Inflation, as measured by the CPI index of the Greater Buenos Aires area (which is used to calculate CER adjustment for sovereign bonds) averaged 7.8% year over year during the fourth quarter.

Due to the deepening of the international crisis and high market volatility, commencing during October demand for foreign currency increased. The Central Bank sold USD 2.2 billion in the FX market during the forth quarter and International Reserves decreased to USD 46.4 billion at the end of December, a drop of USD 0.7 billion during the period. The Exchange rate (“referencia BCRA”) closed at Ps. 3.45 per USD at the end of December, 10.3% above levels from the end of September.

BADLAR rates at private banks rose from 12% in September 2008 to a 19% monthly average in December. Nevertheless, in order to ensure the supply of liquidity, the Central Bank reduced the stock of bills y notes, which decreased by Ps. 11.9 billion during the quarter, and expanded the money supply by purchasing sovereign bonds.

Private sector deposits decreased by 2.0% on average during the fourth quarter of 2008, but this decrease is partially explained by the transfer of deposits held by private pension funds (AFJP’s) to the ANSES. Loans to the private sector, in pesos and in foreign currency, increased by 3.7%, a deceleration compared to the previous quarters. Loans to consumer in pesos were the most dynamic.

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The Bank

During the year 2008 the international financial crisis and some local factors resulted in a growth deceleration that has been registering in the intermediation business. In this sense it is important to emphasize that BBVA Banco Francés has known to adapt to the new market conditions, redefining their strategy with the firm objective to pass this crisis and to come out fortified.

In this year, BBVA Banco Francés increased its private sector loan portfolio by 10%, with the retail segment having an outstanding performance growing by 44%, mainly through personal and secured loans, along with credit cards. Also, an effective liquidity management allowed to increase the private margin of the bank compensating the smaller growth in the portfolio volumes.

On the other hand, another fundamental pillar in the strategy by the Bank being implemented is the risk management, and in this sense the Bank continuous with the lowest nonperforming ratio of the system, which as of December 31, 2008 was 0.97% with a coverage level of 177.0%.

In terms of liabilities, BBVA Banco Francés was concentrated in capturing retail funds, with the objective of achieving a lower cost structure. In this point, it is important to emphasize that within the total of deposits, transactional deposits increased their participation during the last year as a result of the implemented strategy.

For year 2009, the prevailing scenario presents new opportunities for BBVA Banco Francés, which will be undertaken starting from high levels of liquidity and solvency, reduced delinquency, good results and a long term relation created with its clients.

Presentation of Financial Information

•

Foreign currency balances as of December 31, 2008 have been translated into pesos at the reference exchange rate of Ps. 3.4537 per U.S. dollar, published by the Argentine Central Bank.

•

This press release contains unaudited information that consolidates all of the banking activities of BBVA Banco Francés and its subsidiaries on a line-by-line basis. The Bank’s interest in the Consolidar Group is shown as Investments in other companies (booked by the equity method) and the corresponding results are included in Income from equity investments.

•

It is important to highlight the fact that information contained in this press release may differ from the information published by BBVA Group for Argentina, which is prepared according to Spanish accounting standards for all BBVA Group affiliates.

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FINANCIAL INFORMATION

Condensed Income Statement (1)


*in thousands of pesos except income per share, income per* *ADS and percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Net Financial Income	(11,249	)	255,608		237,276		-104.40	%	-104.74	%
Provision for loan losses	35,816		(30,108	)	(25,221	)	-218.96	%	-242.01	%
Net income from services	218,876		192,471		156,607		13.72	%	39.76	%
Administrative expenses	(319,283	)	(286,323	)	(268,675	)	11.51	%	18.84	%
Operating income	(75,840	)	131,648		99,987		-157.61	%	-175.85	%
Income (loss) from equity investments	(17,023	)	249		18,658		-6936.55	%	-191.24	%
Income (Loss) from Minority interest	(2,467	)	(2,411	)	1,157		2.32	%	-313.22	%
Other Income/Expenses	114,682		(8,062	)	(106,082	)	-1522.50	%	-208.11	%
Income tax and Minimum Presumed Tax	(3,573	)	(3,937	)	(3,162	)	-9.25	%	-13.00	%
Net income for the period	15,779		117,487		10,558		-86.57	%	49.45	%
Net income per share (2)	0.03		0.25		0.02		-86.57	%	49.45	%
Net income per ADS (3)	0.10		0.75		0.07		-86.57	%	49.45	%

(1)	Exchange rate: 3.4537 Ps. = 1 US$

(2)	Assumes 471,361,306 ordinary shares outstanding.

(3)	Each ADS represents three ordinary shares.

In the section captioned as “Quarter Executive Summary” a table containing “pro forma” information is presented to provide a better analysis of the fourth quarter of the year results.

During the fourth quarter of the 2008 year, Net Financial Income after the valuation adjustment in public securities reached Ps. 310.8 million, growing by 21.6% with respect to the previous quarter and by 31.0% with respect the similar quarter of year 2007.

This improvement in the Net Financial Income is related to the private sector and due to the growth increase of the loan portfolio with this sector, together with an improvement of the bank’s spreads as a consequence of a greater growth in financings to small and medium businesses and to the retail segment.

Provisions for loan loses, net of the relocalization of the generic provisions excess in the loan portfolio, reached Ps. 34.2 million during the fourth quarter of the year, an increase of 13.5% compared to the previous quarter.

During this last quarter, Net Income from Services continued growing. These increased by 13.7% with respect to the previous quarter and by 39.8% with respect to the same quarter of 2007. This increase is a consequence of the greater activity level.

With respect to Administrative Expenses, during the fourth quarter of the year these increased by 11.5% with respect to previous quarter and by 18.8% with respect to the same quarter of year 2007, mainly due to increases in personnel expenses and advertising and promotion expenses, driven by the higher activity and investment level and a more active promotion strategy.

Result from equity investments presents an extraordinary result relating to the extraordinary adjustments derived from the reform of the argentine pension system and due to the equity participation in the Consolidar Group companies.

Finally, Other Income/Expenses line item shows the recovered credits and the loss from legal injunctions paid during the period together with the reverse of provisions made due to the giving of specific treatment to provisions for other contingencies.

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*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Return on Average Assets (1)	0.29	%	2.38	%	0.22	%	-87.89	%	29.98	%

Return on Average Shareholders’ Equity (1)	2.97	%	22.02	%	2.05	%	-86.53	%	44.56	%

Net fee Income as a % of Operating Income	105.42	%	42.95	%	39.76	%	145.42	%	165.14	%

Net fee Income as a % of Administrative Expenses	68.55	%	67.22	%	58.29	%	1.98	%	17.61	%

Adm. Expenses as a % of Operating Income (2) (3)	59.52	%	60.04	%	68.21	%	-0.87	%	-12.74	%

(1)	Annualized.

(2)	Adm.Expenses / (Net financial income + Net income from services)

(3)	Net considering the excess in the adjustment of the value of public portfolio.

Net Financial Income

The decrease in the Net Financial Income is mainly due to the higher adjustment in public assets valuation during the last quarter of the year. This negative effect was partially offset by an increase in interest earned from financial intermediation and the income from currency transaction.

It is important to mention that during the fourth quarter of the year, financial income net of the valuation adjustment in public assets grew by 21.6% with respect to the previous quarter and by 31.0% with respect to the same quarter of year 2007. The increase with respect to the third quarter of the year is due to an improvement in the bank’s spreads as well as a greater participation of small and medium businesses and retail segments in total financings. Meanwhile the growth with respect to the same quarter of 2007 is related to an expansion of the private sector loan portfolio together with the mentioned improvement in the spreads.

During the quarter under analysis, income related to foreign currency exchange, included in Foreign exchange difference, totalized Ps. 46.0 million, which is 18.5% more than those registered in the previous quarter.


*in thousands of pesos except percentages*	Quarter ended					% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07	09/30/08		12/31/07

Net financial income	(11,249	)	255,608		237,276	-104.40	%	-104.74	%
Income from financial intermediation	112,689		107,356		47,788	4.97	%	135.81	%
CER adjustment	32,829		38,553		44,299	-14.85	%	-25.89	%
Income from securities and short term investments	(316,695	)	(1,935	)	61,320	16266.67	%	-616.46	%
Net Income from options	(111	)	11		—	100.00	%	100.00	%
Interest on Government guaranteed loans	15,210		15,011		16,012	1.33	%	-5.01	%
Foreign exchange difference	56,967		40,400		32,948	41.01	%	72.90	%
Others	87,862		56,212		34,909	56.30	%	151.69	%

Income from Public and Private Securities

Income from Public and Private Securities during the fourth quarter of 2008 were affected by the valuation adjustment of public assets that reached Ps. 385.0 million, well above the adjustment of Ps. 75.7 million made during the third quarter of the year, and of Ps. 45.8 million during the same quarter of 2007.

With respect to other Income from Public and Private Securities, reductions in the results from the portfolio from available for sale and Central Bank instruments are mainly due to a smaller volume of holdings of these instruments together with lower yields.

The variations in the CER adjustment are due to a lower CER index.

- 6 -


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Income from securities and short-term investments	(316,695	)	(1,935	)	61,320		16269.95	%	-616.46	%
Trading account	9,466		11,564		8,730		-18.14	%	8.43	%
Available for sale	33,243		34,028		47,819		-2.31	%	-30.48	%
Bills and Notes from the Central Bank	15,890		17,630		43,128		9.87	%	-63.16	%
Other fixed income securities	(375,294	)	(65,156	)	(38,356	)	475.99	%	878.44	%

CER adjustment	14,939		17,601		23,663		-15.12	%	-36.87	%

CER adjustment—Trading account	—		—		—		—		—
CER adjustment—Investment account	—		—		—		—		—
CER adjustment—Other fixed securities	14,939		17,601		23,663		-15.12	%	-36.87	%

Net income from services

In the fourth quarter of the year, net income from services grew by 13.7% with respect to the previous quarter and by 39.8% with respect to the same quarter of 2007. In annual terms, net income from services during fiscal year 2008 increased by 29.2% with respect to the previous fiscal year.

The quarterly expansion is mainly explained by the increases registered in credit card fees, account maintenance fees and insurance sales, all as a result of an increase in the commercial activity.

On the other hand, during the year 2008, the greater businesses volume explains the increases in fees related with the retail segment, mainly those relating to on demand accounts, credit cards and insurance fees, together with those tied to foreign trade operations.


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Net income from services	218,876		192,471		156,607		13.72	%	39.76	%

Service charge income	289,896		247,043		194,423		17.35	%	49.11	%
Service charges on deposits accounts	95,699		85,712		68,519		11.65	%	39.67	%
Credit Cards and operations	76,509		58,346		44,569		31.13	%	71.66	%
Insurance	32,233		22,665		14,878		42.21	%	116.64	%
Capital markets and securities activities	3,557		5,855		4,554		-39.24	%	-21.90	%
Fees related to Foreign trade	14,184		14,526		11,276		-2.35	%	25.79	%
Other fees	67,715		59,939		50,627		12.97	%	33.75	%

Services Charge expense	(71,020	)	(54,572	)	(37,816	)	30.14	%	87.81	%

Administrative Expenses

During the last quarter of the year, Administrative Expenses grew by 11.5% with respect to the previous quarter and by 18.8% with respect to the same quarter of 2007. In annual terms, during fiscal year 2008 these expenses increased by 29.4% in comparison with year 2007.

With respect to the previous quarter, a seasonal increase in personnel expenses is observed as a result of higher year end expenses and a greater cost of contracted sale force. Also increases in advertising and promotion expenses were registered due to a more active promotions strategy, higher electricity and communications expenses due to the activity growth, and higher organization expenses and amortizations due to the greater level of infrastructure investment and information technology developments.

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On the other hand, compared with the same period of the previous year, the main increases were registered in personnel expenses, organization expenses, amortizations, professional fees and taxes. These increases are explained by a greater activity and investment level. The personnel expenses grew mainly due to wage increases, larger number of employees and a greater cost in the contracted sale force.

As of December 31, 2008, the total Bank’s employee base was of 4,264 individuals (including the Bank’s subsidiaries, except for the Consolidar Group). The branch office network totaled 268 offices, including 237 consumer branch offices, 27 branch offices specialized in the middle-market segment, 13 in-company branches, 4 branch offices for large corporate and institutional clients and 3 points of sale. During the present year, the Bank opened 5 new retail branch offices within the country, 1 in-company branch and 1 point of sale, with the purpose of reinforcing its presence in the cities with higher economic growth.


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Administrative expenses	(319,283	)	(286,323	)	(268,675	)	11.51	%	18.84	%

Personnel expenses	(186,297	)	(169,798	)	(167,506	)	9.72	%	11.22	%
Electricity and Communications	(6,932	)	(6,589	)	(5,848	)	5.21	%	18.54	%
Advertising and Promotion	(21,754	)	(16,801	)	(22,250	)	29.48	%	-2.23	%
Honoraries	(8,550	)	(7,549	)	(6,545	)	13.26	%	30.63	%
Taxes	(9,929	)	(8,438	)	(4,716	)	17.67	%	110.54	%
Organization and development expenses	(3,304	)	(2,958	)	(2,953	)	11.70	%	11.89	%
Amortizations	(10,100	)	(9,438	)	(9,124	)	7.01	%	10.70	%
Other	(72,417	)	(64,752	)	(49,733	)	11.84	%	45.61	%

Other Income/Expenses

During the fourth quarter of 2008, Other Income/Expenses line shows the recovered credits and the loss from legal injunctions paid during the period together with the reverse of provisions made due to the giving of specific treatment to provisions for other contingencies. During the same quarter of 2007, this line item included the amortization of the asset related with legal injunctions of Ps. 74.7 million and the charge for reserves for other contingencies.

It is important to note that during the first quarter of 2008, BBVA Banco Fancés completed the amortization of the asset related with legal injunctions, that such amortization was booked in accordance with Central Bank’s regulation and that it does not imply that the Bank waives its right to demand a future compensation or the recovery of the difference in the exchange rate ordered by the legal injunctions.

Income from equity investments

Income from Equity Investments sets forth net income from related companies that are not consolidated, mainly the Consolidar Group. The stake in the Consolidar Group recorded losses of Ps. 19.2 million during the quarter.

It is important to mention that Consolidar AFJP’s result during the fourth quarter of the year was a loss of Ps. 25.6 million. This result includes extraordinary charges resulting from the pension system reform in the amount of Ps. 57.7 million (Ps. 31.1 million in BBVA Banco Francés books), mainly arising from indemnities to personnel, accelerated amortizations, non-recoverable credits, extraordinary expenses and smaller income from fees as a result the December transfer of founds to the ANSES.

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Public Sector Exposure


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07

Public Sector—National Government	1,927,938		2,445,893		2,724,879		-21.18	%	-29.25	%
- Loans to the Federal government & Provinces	1,365,552		1,376,353		1,415,763		-0.78	%	-3.55	%
- Total bond portfolio	1,097,974		1,204,758		1,174,701		-8.86	%	-6.53	%
Unlisted	1,004,833		978,339		903,897		2.71	%	11.17	%
Available for sale	91,669		212,865		239,513		-56.94	%	-61.73	%
Other government bonds	1,472		13,554		31,291		-89.14	%	-95.30	%
Reverse repo w/Central Bank	334,688		—		—		100.00	%	100.00	%
- Trustees	217,043		212,301		195,374		2.23	%	11.09	%
- Allowances	(752,631	)	(347,519	)	(60,959	)	116.57	%	1134.65	%

Bills and Notes from Central Bank	2,928,104		2,110,884		2,344,567		38.71	%	24.89	%
- Own portfolio	1,668,928		1,406,203		2,179,178		18.68	%	-23.41	%
- Reverse repo w/Central Bank	1,259,176		704,681		165,389		78.69	%	661.34	%

Total exposure to the Public Sector	4,856,042		4,556,777		5,069,446		6.57	%	-4.21	%

Total exposure to the Public Sector without repos	3,262,178		3,852,096		4,904,057		-15.31	%	-33.48	%

Total exposure to the Public Sector net of holdings liked to reverse repo transactions with BCRA were reduced by 15.3% during the last quarter of 2008 and by 33.5% during the 2008 year. The quarterly variation is mainly explained by the valuation adjustment in public assets and the smaller value of the available for sale portfolio, while the annual decrease is due to the described lower valuations and the reduction in the Bank’s own portfolio of Central Bank Bills and Notes. These variations were partially offset by the increase in holdings of guaranteed loans and Bogar 2020 arising from the corresponding update of the CER index.

As of December 31, 2008, the exposure to the Public Sector National Treasure, net of holdings linked to reverse repo transactions with the BCRA, represented 8.5% of the Bank’s total assets. Meanwhile the exposure to the Public Sector, net of holdings linked to reverse repo transactions with the BCRA, represented 17.3% of the Bank’s total assets.

The Central Bank Bills and Notes portfolio, net of holdings linked to reverse repo transactions, grew by 18.4% during the last three months, whereas it showed a decrease of 23.6% during the 2008 year. These variations are related to the management of transitory liquidity.

Total exposure to the Public Sector includes national debt of the national treasure through public securities, guaranteed loans and trustees, and also, the Central Bank Bills and Notes.

- 9 -

Government and Private Securities Portfolio


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07

Holdings	3,713,676		3,066,629		3,573,520		21.10	%	3.92	%
Trading	2,778,420		1,359,092		1,242,787		104.43	%	123.56	%
Unlisted Goverment Securities	1,004,833		978,339		903,897		2.71	%	11.17	%
Available for Sale	577,502		978,211		1,372,584		-40.96	%	-57.93	%
Other fixed income securities	105,552		98,506		115,211		7.15	%	-8.38	%
Allowances	(752,631	)	(347,519	)	(60,959	)	116.57	%	1134.65	%
Repurchase Agreements	(1,593,864	)	(704,681	)	(165,389	)	126.18	%	863.70	%
Trading (Reverse repo)	—		—		—		0.00	%	0.00	%
Trading (Reverse repo)	(1,593,864	)	(704,681	)	(165,389	)	126.18	%	863.70	%
Net Position	2,119,812		2,361,948		3,408,131		-10.25	%	-37.80	%
Trading	1,184,556		654,411		1,077,398		81.01	%	9.95	%
Unlisted Goverment Securities	1,004,833		978,339		903,897		2.71	%	11.17	%
Available for Sale	577,502		978,211		1,372,584		-40.96	%	-57.93	%
Other fixed income securities	105,552		98,506		115,211		7.15	%	-8.38	%
Allowances	(752,631	)	(347,519	)	(60,959	)	116.57	%	1134.65	%

Net Position in other fixed income securities as of December 31^st, 2008 includes Ps. 105.5 million of private bonds

The Government and Private Securities net position was reduced by 10.3% during the last quarter of 2008 and by 37.8% during the 2008 year as a result of the valuation adjustment in public assets and the lower value of the available for sale portfolio. In addition, the annual reduction is also due to a decrease in the Central Bank instruments holdings.

The decrease in the “Available for the Sale” portfolio is due to a smaller value of the securities included in this category and maturities of Central Bank Bills and Notes, while the increase in the “Trading” is due to new incorporations of Central Bank Bills and Notes.

Loan portfolio

Total private sector loan portfolio grew by 10.0% during the 2008 year. The strategy implemented by BBVA Banco Francés continued focused in bolstering its private lending activity, mainly to the retail and middle market segments. The increase registered during the last quarter was of 0.65%.

While the pace of growth in the private lending activity showed a slowdown during the last quarter, the Bank reinforced its efforts in the retail segment. During the last quarter of 2008, loan growth was driven by credit card finances, which grew by Ps. 229.0 million, whereas personal and secured loans grew by Ps. 69.6 million and Ps. 54.2 million, respectively. On the other hand, for the middle market and the large corporate segment, discounted notes and other loans, mainly those related with exports operations decreased by 12.9% and by 5.1%, respectively, whereas advances and draw downs decreased by 3.9%.

Considering the last twelve months, the expansion in the financings to the retail segment was supported by the increase of personal and secured loans and credit cards, which grew by Ps. 518.6 million, Ps. 258.2 million and Ps. 436.9 million, respectively. In the middle market and corporate segment, advances grew by 6.6%, whereas discounted notes and other loans, mainly those related with exports operations decreased by 13.2% and by 16.5% respectively.

- 10 -

The table below shows the composition of the loan portfolio in quarter balances:


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Private & Financial sector loans	9,898,442		9,834,091		9,002,814		0.65	%	9.95	%
Advances	1,413,526		1,471,487		1,326,474		-3.94	%	6.56	%
Discounted and purchased notes	1,241,508		1,424,584		1,430,787		-12.85	%	-13.23	%
Consumer Mortgages	946,804		953,448		772,036		-0.70	%	22.64	%
Car secured loans	511,374		457,189		253,130		11.85	%	102.02	%
Personal loans	1,855,767		1,786,215		1,337,179		3.89	%	38.78	%
Credit cards	1,239,588		1,010,571		802,647		22.66	%	54.44	%
Loans to financial sector	491,820		486,909		487,039		1.01	%	0.98	%
Other loans	2,228,099		2,347,432		2,666,750		-5.08	%	-16.45	%
Unaccrued interest	(24,304	)	(17,077	)	(13,756	)	42.32	%	76.68	%
Adjustment and accrued interest & exchange differences receivable	190,749		159,034		139,256		19.94	%	36.98	%
Less: Allowance for loan losses	(196,489	)	(245,701	)	(198,728	)	-20.03	%	-1.13	%
Loans to public sector	1,365,552		1,376,353		1,415,763		-0.78	%	-3.55	%
Loans to public sector	553,120		583,740		669,767		-5.25	%	-17.42	%
Adjustment and accrued interest & exchange differences receivable	812,432		792,613		745,996		2.50	%	8.91	%
Net total loans	11,263,994		11,210,444		10,418,577		0.48	%	8.11	%

Asset Quality

BBVA Banco Francés continued being the leader in the local financial system with an asset quality ratio (non-performing loans over total loans) of 0.97% and a coverage ratio (provisions over of non-performing loans) of 177.0% as of December 31, 2008.

It is important to mention that BBVA Banco Francés has the highest coverage ratio of the Argentine Financial System as of December 31, 2008. The non-performing ratio, excluding the BBVA Banco Francés subsidiaries, at the end of 2008 was of 0.90%.


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Nonaccrual loans (1)	111,026		95,147		62,978		16.69	%	76.29	%
Allowance for loan losses	(196,489	)	(245,701	)	(198,728	)	-20.03	%	-1.13	%
Nonaccrual loans/net total loans	0.97	%	0.83	%	0.59	%	16.64	%	63.32	%
Allowance for loan losses/nonaccrual loans	176.98	%	258.23	%	315.55	%	-31.47	%	-43.92	%
Allowance for loan losses/net total loans	1.71	%	2.14	%	1.87	%	-20.06	%	-8.40	%

(1)	Nonaccrual loans include: all loans to borrowers classified as “Problem”, “Deficient Servicing”, “High Insolvency Risk”, “Difficult Recovery”, “Irrecoverable” and “Irrecoverable for Technical Decision” according to the new Central Bank debtor classification system.

The following table shows the evolution of provisions for loan losses, including charges relating to transactions recorded under Other Receivables from financial intermediation.

- 11 -


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Balance at the beginning of the quarter	248,135		226,961		183,599		9.33	%	35.15	%

Increase / decrease	(35,816	)	30,108		25,221		-218.96	%	-242.01	%
Provision increase / decrease—Exchange rate difference	2,694		945		22		185.08	%	-12145.45	%
Decrease	(15,511	)	(9,879	)	(8,213	)	57.01	%	88.86	%

Balance at the end of the quarter	199,502		248,135		200,629		-19.60	%	-0.56	%

Changes in charges for loan losses are related to the creation or release of reserves relating to the normal loan portfolio as a consequence of the growth or reduction in financings to the private sector. The decreases in the reserves are related to write-offs in the portfolio.

Deposits

During the last quarter of the year 2008, deposits grew by 10.3%, whereas during the same period, deposits in the financial system decreased by 2%. During the year 2008, the expansion was of 15.2%.

On demand deposit account balances experienced the greatest increase, not only during the last quarter of 2008 but also during the full year, increasing its participation in the total deposits. As of December 31, 2008, these deposits represented 54.8% of the total deposits, allowing BBVA Banco Francés to reduce the negative impact of higher levels of interest rates.

Deposits in current accounts lead the increase with growth of 37.3% during the fourth quarter of 2008 and of 56.6% during the full 2008 year. Deposits in saving accounts grew by 4% in the fourth quarter and by 10.1% in the full year; whereas time deposits increased by 2.7% during the quarter and by 2% during the year. On the other hand, the decreasing trend of CER adjusted time deposits continued during this quarter, which represented less than 1% of the total deposits by the end of fiscal year 2008.

Foreign currency-denominated deposits grew by 30.7% during the fourth quarter and by 43.5% during the year 2008. As of December 31, 2008, foreign currency-denominated deposits amounted to Ps. 3,529 million (equivalent to USD 1,021.7 million), representing 20.5% of total deposits.

- 12 -


*in thousands of pesos except percentages*	Quarter ended			% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08	09/30/08	12/31/07	09/30/08		12/31/07
Total deposits	17,159,319	15,553,073	14,894,468	10.33	%	15.21	%
Current accounts	4,743,074	3,454,744	3,028,835	37.29	%	56.60	%
Peso denominated	4,218,204	3,451,579	3,023,606	22.21	%	39.51	%
Foreign currency	524,870	3,165	5,229	16483.57	%	9937.67	%
Saving accounts	4,664,305	4,485,715	4,237,766	3.98	%	10.07	%
Peso denominated	3,338,069	3,287,457	3,198,958	1.54	%	4.35	%
Foreign currency	1,326,236	1,198,258	1,038,808	10.68	%	27.67	%
Time deposits	7,497,724	7,302,332	7,354,180	2.68	%	1.95	%
Peso denominated	5,921,364	5,916,972	5,797,308	0.07	%	2.14	%
CER adjusted time deposits	15,326	23,165	254,205	-33.84	%	-93.97	%
Foreign currency	1,561,034	1,362,195	1,302,667	14.60	%	19.83	%
Investment Accounts	10,322	18,238	13,152	-43.40	%	-21.52	%
Peso denominated	10,322	18,238	13,152	-43.40	%	-21.52	%
Foreign currency	—	—	—	—		—
Other	243,894	292,044	260,535	-16.49	%	-6.39	%
Peso denominated	127,220	155,162	147,669	-18.01	%	-13.85	%
Foreign currency	116,674	136,882	112,866	-14.76	%	3.37	%

*Rescheduled deposits (^) CEDROS**	101,598	121,093	177,753	-16.10	%	-42.84	%
Peso denominated	101,598	121,093	177,753	-16.10	%	-42.84	%
Foreign currency	—	—	—	—		—

Total deposits + Rescheduled deposits & CEDROS	17,260,917	15,674,166	15,072,221	10.12	%	14.52	%

^(*)	The payment of Rescheduled Deposits concluded in August 2005, in accordance with its original schedule, except those deposits that have a pending legal injunction.

Other Funding Sources

Other funding sources decreased by 32.8% during the last quarter of 2008, while the decrease for the full year was of 38.6%. These variations are mainly explained due to lower lines from other banks for financing transactions linked to foreign trade. At the end of December 2008, 86.5% of balances from other funding sources were foreign currency denominated funds.


*in thousands of pesos except percentages*	Quarter ended			% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08	09/30/08	12/31/07	09/30/08		12/31/07
Lines from other banks	389,832	580,069	634,701	-32.80	%	-38.58	%
Senior Bonds	—	—	—	—		—
Other banking liabilities	389,832	580,069	634,701	-32.80	%	-38.58	%
Subordinated Debt	—	—	—	—		—

Total other funding sources	389,832	580,069	634,701	-32.80	%	-38.58	%

Capitalization

As of December 31, 2008 with a total shareholder’s equity of Ps. 2,076 million, BBVA Banco Francés had an excess of capital over Central Bank requirements of Ps. 888.6 million. Such excess represented 42.8% of Total Shareholder’s Equity, representing an important solvency level.

During the last quarter of 2008, the Unrealized Valuation Difference registered an increase of Ps. 119.9 million as a result of the deterioration in the value of public bonds booked as “Available for sale”.

- 13 -


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Capital Stock	471,361		471,361		471,361		0.00	%	0.00	%
Non-capitalized contributions	175,132		175,132		175,132		0.00	%	0.00	%
Adjustments to stockholders equity	312,979		312,979		312,979		0.00	%	0.00	%
Subtotal	959,472		959,472		959,472		0.00	%	0.00	%
Reserves on Profits	594,391		594,391		547,381		0.00	%	8.59	%
Unapropiated retained earnings	703,280		687,501		592,780		2.30	%	18.64	%
Unrealized valuation difference	(181,119	)	(61,175	)	(42,796	)	196.07	%	0.00	%
Total stockholders’ equity	2,076,024		2,180,189		2,056,837		-4.78	%	0.93	%

The variations in the minimum capital required by the BCRA during the last twelve months is mainly explained by higher requirements caused by the increase in the private sector financings and an increase in the Alpha coefficient, partially offset by lower requirements due to a decrease in the market risk as a consequence of a lower risk exposure.


*in thousands of pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
Central Bank Minimum Capital Requirements	1,467,176		1,501,496		1,337,004		-2.29	%	9.74	%

Central Bank Minimum Capital Requirements (a, b)	1,373,016		1,379,009		1,175,292		-0.43	%	16.82	%
Market Risk	52,360		70,688		108,280		-25.93	%	-51.64	%
Increase in capital requirements related to custody	41,800		51,799		53,432		-19.30	%	-21.77	%

a) Central Bank Minimum Capital Requirements	1,373,016		1,379,009		1,175,292		-0.43	%	16.82	%
Allocated to Asset at Risk	892,463		880,057		760,014		1.41	%	17.43	%
Allocated to Immobilized Assets	86,167		95,307		94,852		-9.59	%	-9.16	%
Interest Rate Risk	158,065		168,038		174,544		-5.93	%	-9.44	%
Loans to Public Sector and Securities in Investment	236,321		235,607		145,882		0.30	%	61.99	%
Non Compliance of Other Credit Regulations	—		—		—		—		—

b) Minimum capital required for Pension Funds (AFJPs) to act as securities custodian and registrar of mortgage notes	836,005		1,035,971		1,068,636		-19.30	%	-21.77	%

5% of the securities in custody and book-entry notes	836,005		1,035,971		1,068,636		-19.30	%	-21.77	%

Bank Capital Calculated under Central Bank Rules	2,355,781		2,330,063		2,233,040		1.10	%	5.50	%
Core Capital	1,946,516		1,935,633		1,864,585		0.56	%	4.39	%
Minority Interest	304,884		261,470		236,018		16.60	%	29.18	%
Supplemental Capital	165,802		239,248		235,272		-30.70	%	-29.53	%
Deductions	(61,421	)	(106,288	)	(102,835	)	-42.21	%	-40.27	%
Excess over Required Capital	888,605		828,567		896,036		7.25	%	-0.83	%

Recent Developments

A swap of National government Guaranteed Loans for new debt instruments issued by the National Government (Bonar 2014) with 5 year maturity took place in January 2009. For BBVA Banco Francés the swap was made by a reference value of Ps. 1,018.4 million. Pursuant to the BCRA regulations, there will not be an initial impact in the valuation of the assets received.

- 14 -

Additional information


*in pesos except percentages*	Quarter ended						% Change Qtr ended 12/31/08 vs. Qtr ended
*in pesos except percentages*	12/31/08		09/30/08		12/31/07		09/30/08		12/31/07
- Exchange rate	3.4537		3.1302		3.1510		10.33	%	9.61	%

- Quarterly CER adjustment	1.31	%	1.50	%	2.30	%	-12.76	%	-43.22	%

This press release contains or may contain certain forward-looking statements within the meaning of the United States Securities Litigation Reform Act of 1995, including, among other things, concerning the prospects of the Argentine economy, Banco Francés’s earnings, business plans, cost-reduction plans, and capitalization plan, and trends affecting BBVA Banco Francés’s financial condition or results of operations. Any forward-looking statements included in this press release are based on current expectations and estimates, but actual results and events may differ materially from anticipated future results and events. Certain factors which could cause the actual results and events to differ materially from the expected results or events include: (1) changes in domestic or international stock market prices, exchange rates or interest rates; (2) macroeconomic, regulatory, political or governmental changes; (3) changes in the markets for BBVA Banco Francés’s products and services; (4) increased competition; (5) changes in technology; or (6) changes in the financial condition, creditworthiness or solvency of the customers, debtors or counterparties of BBVA Banco Francés. Additional factors that could cause the actual results or events to differ materially from the expected results or events are described in the reports filed by BBVA Banco Francés with the United States Securities and Exchange Commission (SEC), including, but not limited to, BBVA Banco Francés’s annual report on Form 20-F and exhibits thereto. BBVA Banco Francés does not undertake to revise or update any of the information contained herein under any circumstances, including if at any moment following dissemination of such information it is no longer accurate or complete.

Conference call: A conference call to discuss this fourth quarter earnings will be held on Friday, February 13th, at 10:00 AM New York time – 1.00 PM Buenos Aires time. If you are interested in participating, please dial (888) 637 7746 within the U.S. or +1 (913) 981 5546 outside the U.S. at least 5 minutes prior to our conference. Confirmation code: 4393068.

A conference call replay facility will be available from February 13th through February 27th, 2009. In order to listen to this digital replay, please call (888) 203 1112 within the U.S. or +1 (719) 457 0820 outside the U.S. Access Code: 4393068.

Internet: This press release is also available in http://www.bancofrances.com.ar

- 15 -

BBVA Banco Francés S.A. and subsidiaries (Grupo Consolidar: by the equity method)


ASSETS : (in thousands of pesos)	12/31/08		09/30/08		06/30/08		12/31/07
Cash and due from banks	4,239,157		3,388,364		3,203,003		3,127,740
Government and Private Securities	3,615,920		2,977,262		2,456,963		3,490,994
- Trading account (listed securities)	1,461		9,040		104,438		31,288
- Available for sale	577,502		978,211		1,286,084		1,372,584
- Reverse repo w/Central Bank	334,688		—		—		—
- Unlisted	1,004,833		978,345		963,770		903,903
- Listed Private Securities	7,796		9,139		10,326		32,764
- Bills and Notes from the Central Bank	2,442,271		1,350,046		364,093		1,211,414
Less: Allowances	(752,631	)	(347,519	)	(271,748	)	(60,959	)
Loans	11,263,994		11,210,444		10,567,226		10,418,577
- Loans to the private & financial sector	9,898,442		9,834,091		9,199,992		9,002,814
- Advances	1,413,526		1,471,487		1,333,598		1,326,474
- Discounted and purchased notes	1,241,508		1,424,584		1,263,407		1,430,787
- Secured with mortgages	946,804		953,448		911,719		772,036
- Car secured loans	511,374		457,189		384,124		253,130
- Personal loans	1,855,767		1,786,215		1,679,196		1,337,179
- Credit cards	1,239,588		1,010,571		923,070		802,647
- Loans to financial sector	491,820		486,909		502,642		487,039
- Other loans	2,228,099		2,347,432		2,291,087		2,666,750
Less: Unaccrued interest	(24,304	)	(17,077	)	(16,090	)	(13,756	)
Plus: Interest & FX differences receivable	190,749		159,034		151,983		139,256
Less: Allowance for loan losses	(196,489	)	(245,701	)	(224,744	)	(198,728	)
- Public Sector loans	1,365,552		1,376,353		1,367,234		1,415,763
Principal	553,120		583,740		598,223		669,767
Plus: Interest & FX differences receivable	812,432		792,613		769,011		745,996
Other banking receivables	2,391,717		1,396,491		958,510		916,300
- Repurchase agreements	1,667,345		655,336		90,391		150,154
- Unlisted private securities	63,324		58,041		55,588		58,277
- Unlisted Private securities :Trustees	34,421		31,326		28,750		24,170
- Other banking receivables	629,640		654,222		785,998		685,600
- Less: provisions	(3,013	)	(2,434	)	(2,217	)	(1,901	)
Investments in other companies	428,305		452,879		490,239		411,979
Intangible assets	48,075		44,012		32,161		91,680
- Goodwill	—		—		—		12,200
- Organization and development charges	48,075		44,012		32,161		21,991
- Assets related to legal injunctions	—		—		—		57,489
Other assets	1,196,426		1,201,050		1,160,853		1,043,623

TOTAL ASSETS	23,183,594		20,670,502		18,868,955		19,500,893


LIABILITIES:	12/31/08		09/30/08		06/30/08		12/31/07
Deposits	17,260,917		15,674,166		14,574,892		15,072,221
- Current accounts	4,743,074		3,454,744		3,122,874		3,028,835
- Saving accounts	4,664,305		4,485,715		4,255,842		4,237,766
- Time deposits	7,497,724		7,302,332		6,739,312		7,354,180
- Investment Accounts	10,322		18,238		14,042		13,152
- Rescheduled deposits—CEDROS	101,598		121,093		136,268		177,753
- Other deposits	243,894		292,044		306,554		260,535
Other banking Liabilities	3,129,562		2,089,996		1,552,169		1,746,844
Other provisions	236,811		344,863		352,113		321,543
- Other contingencies	236,454		344,504		351,700		321,130
- Guarantees	357		359		413		413
Other liabilities	445,672		349,148		271,178		288,965
Minority interest	34,608		32,140		29,729		14,483

TOTAL LIABILITIES	21,107,570		18,490,313		16,780,081		17,444,056

TOTAL STOCKHOLDERS’ EQUITY	2,076,024		2,180,189		2,088,874		2,056,837

Total liabilities + stockholders’ equity	23,183,594		20,670,502		18,868,955		19,500,893

- 16 -

BBVA Banco Francés S.A. and subsidiaries (Grupo Consolidar: by the equity method)


INCOME STATEMENT	12/31/08		09/30/08		06/30/08		12/31/07

Financial income	282,293		492,612		394,347		451,547
- Interest on Cash and Due from Banks	571		3,090		3,170		5,554
- Interest on Loans Granted to the Financial Sector	26,492		21,304		18,380		16,509
- Interest on Overdraft	89,205		68,514		57,260		52,013
- Interest on Discounted and purchased notes	55,879		44,772		37,536		36,924
- Interest on Mortgages	31,055		28,826		24,743		19,707
- Interest on Car Secured Loans	19,761		15,713		11,269		5,809
- Interest on Credit Card Loans	34,570		27,624		24,199		16,804
- Interest on Other Loans	139,721		128,702		118,614		92,321
- From Other Banking receivables	4,105		4,691		5,384		6,702
- Interest on Government Guaranteed Loans
Decreet 1387/01	15,210		15,011		14,719		16,012
- Income from Securities and Short Term
Investments	(316,695	)	(1,935	)	(66,976	)	61,320
- Net Income from options	(111	)	11		—		—
- CER	33,116		39,070		62,352		51,921
- CVS	—		—		—		—
- Foreign exchange difference	56,967		40,400		47,892		32,977
- Other	92,447		56,819		35,805		36,974
Financial expenses	(293,542	)	(237,004	)	(190,765	)	(214,271	)
- Interest on Current Account Deposits	(8,532	)	(8,009	)	(5,957	)	(5,825	)
- Interest on Saving Account Deposits	(2,346	)	(2,275	)	(2,104	)	(1,951	)
- Interest on Time Deposits	(240,262	)	(191,627	)	(146,047	)	(166,701	)
- Interest on Other Banking Liabilities	(9,006	)	(8,910	)	(10,035	)	(10,493	)
- Other interests (includes Central Bank)	(1,707	)	(1,902	)	(1,591	)	(1,654	)
- CER	(287	)	(517	)	(2,208	)	(7,622	)
- Bank Deposit Guarantee Insurance system mandatory contributions	(6,889	)	(6,528	)	(6,653	)	(6,296	)
- Foreign exchange difference	—		—		10		(29	)
- Mandatory contributions and taxes on interest income	(19,928	)	(16,629	)	(14,945	)	(11,635	)
- Other	(4,585	)	(607	)	(1,235	)	(2,065	)
Net financial income	(11,249	)	255,608		203,582		237,276
Provision for loan losses	35,816		(30,108	)	(22,243	)	(25,221	)
Income from services, net of other operating expenses	218,876		192,471		173,367		156,607
Administrative expenses	(319,283	)	(286,323	)	(272,766	)	(268,675	)
Income (loss) from equity investments	(17,023	)	249		38,513		18,658
Net Other income	114,682		(8,062	)	(3,190	)	(106,082	)
Income (loss) from minority interest	(2,467	)	(2,411	)	(578	)	1,157
Income before tax	19,352		121,424		116,685		13,720
Income tax	(3,573	)	(3,937	)	(2,749	)	(3,162	)

Net income	15,779		117,487		113,936		10,558

- 17 -

BBVA Banco Francés S.A. and subsidiaries (Grupo Consolidar consolidated on a line by line basis)


ASSETS	12/31/08		09/30/08		06/30/08		12/31/07
Cash and due from banks	4,243,080		3,453,787		3,252,067		3,169,314
Government Securities	5,233,660		4,533,015		4,110,004		5,181,253
Loans	12,507,489		12,619,747		11,832,074		11,390,121
Other Banking Receivables	2,442,925		1,443,429		985,440		956,184
Assets Subject to Financial Leasing	379,120		381,254		363,492		323,522
Investments in other companies	96,640		99,574		140,448		77,986
Other assets	922,551		959,475		924,223		924,619

TOTAL ASSETS	25,825,465		23,490,281		21,607,748		22,022,999


LIABILITIES	12/31/08		09/30/08		06/30/08		12/31/07

Deposits	17,079,203		15,648,108		14,512,848		15,009,758
Other banking liabilities	3,135,153		2,118,476		1,565,960		1,750,021
Minority interest	248,139		261,471		257,939		2,970,365
Other liabilities	3,286,946		3,282,037		3,182,127		236,018

TOTAL LIABILITIES	23,749,441		21,310,092		19,518,874		19,966,162

TOTAL STOCKHOLDERS’ EQUITY	2,076,024		2,180,189		2,088,874		2,056,837


STOCKHOLDERS’ EQUITY + LIABILITIES	25,825,465		23,490,281		21,607,748		22,022,999


NET INCOME	12/31/08		09/30/08		06/30/08		12/31/07

Net Financial Income	107,969		352,279		258,928		330,761
Provision for loan losses	35,816		(30,108	)	(22,243	)	(25,221	)
Net Income from Services	246,027		240,216		212,620		268,931
Administrative expenses	(411,471	)	(350,482	)	(333,198	)	(339,996	)
Net Other Income	30,744		(79,327	)	5,143		(210,260	)

Income Before Tax	9,085		132,578		121,250		24,215

Income Tax	(6,638	)	(11,559	)	(6,982	)	(8,936	)

Net income	2,447		121,019		114,268		15,279

Minoritary Interest	13,332		(3,532	)	(332	)	(4,721	)

Net income for Quarter	15,779		117,487		113,936		10,558

- 18 -

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


	BBVA Banco Francés S.A.

Date: February 12, 2009	By:	/s/ Martín E. Zarich
	Name:	Martín E. Zarich
	Title:	Chief Financial Officer

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