HSBC acq Bk of Bermuda appvd

HSBC Holdings PLC
17 February 2004


                  HSBC ACQUISITION OF BANK OF BERMUDA APPROVED

At a Special General Meeting of The Bank of Bermuda Limited ('Bank of Bermuda')
held today, the resolution to approve the amalgamation of Bank of Bermuda with a
wholly-owned subsidiary of HSBC Holdings plc ('HSBC') was duly passed on a poll.
83.8 per cent of the outstanding shares were voted at the meeting of which 91.0
per cent voted for the transaction, with 9.0 per cent voting against.

All necessary governmental and regulatory consents and approvals required in
connection with the transaction have been obtained.

It is expected that the amalgamation, which will result in Bank of Bermuda
becoming a wholly-owed subsidiary of HSBC, will become effective on 18 February
2004. On that basis, the last day of dealings in Bank of Bermuda shares on
NASDAQ and the Bermuda Stock Exchange will be 17 February 2004.

HSBC announced on 28 October 2003 that it had entered into an agreement to
acquire Bank of Bermuda in a transaction valued at US$1.3 billion. In addition
to providing HSBC with a strong position and a local banking market in Bermuda,
where potential exists for further expansion, the acquisition will add
significant scale and geographical spread to its existing international fund
administration, private banking, trustee and payments and cash management
businesses.

HSBC Group Chairman, Sir John Bond, said: "We are delighted that the
shareholders of Bank of Bermuda have approved the transaction. We believe this
is in the best interests of the customers and shareholders of both companies. We
have always had the greatest respect for Bank of Bermuda and we now look forward
to working with our new colleagues on making the acquisition a success."

Joseph Johnson, Chairman, Bank of Bermuda, said: "The strong support that we
have received from our shareholders is extremely gratifying and only serves to
reinforce our conviction in the benefits of this amalgamation."

Notes to editors:

1. HSBC Holdings plc
With over 9,500 offices in 79 countries and territories, and assets of US$983
billion at 30 June 2003, the HSBC Group is one of the world's largest banking
and financial services organisations.

2. Bank of Bermuda
Founded in 1889, Bank of Bermuda is a leading provider of fund administration,
trust, custody, asset management and banking services. It is a global
organisation, with headquarters in Bermuda and a network spanning 16 other key
financial and offshore centres, including Cayman Islands, Cook Islands, Dublin,
Guernsey, Hong Kong, Isle of Man, Jersey, London, Luxembourg, New York, New
Zealand, Singapore, South Africa, Tokyo and Bahrain. Listed on NASDAQ (BBDA) and
the Bermuda Stock Exchange (BOB), Bank of Bermuda has total assets of $12.8
billion (as at 31 December 2003) and over $130 billion in assets under
administration.



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