Negotiations for disposal

Banco Santander Central Hispano SA
23 September 2005




                                 MATERIAL FACT

Banco Santander Central Hispano, at the request of the National Securities
Market Commission (CNMV), hereby notifies that it is maintaining negotiations
with different investors, in relation to a possible sale of its shareholding in
Union Fenosa. However, such negotiations have not materialized in any agreement
to date.

                                Boadilla del Monte (Madrid), 23rd September 2005



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