Edgar Filing: BBVA BANCO FRANCES SA

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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 2008

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 2007”

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 13, 2008

BBVA BANCO FRANCES (NYSE; BFR.N; BCBA: FRA.BA; LATIBEX: BFR.LA) REPORTS CONSOLIDATED FOURTH QUARTER EARNINGS FOR FISCAL YEAR 2007

Annual Executive Summary

BBVA Banco Francés’ earnings for the fiscal year ended December 31, 2007 totaled Ps. 235 million, representing a 11.7% return on equity (ROE), an increase of nearly 30.6% over the prior year’s result. The strong increase in private sector financing allowed the Bank to replace public sector income with private sector income. Also, the improvement in the recurring income structure was also reflected in net income from services, which increased 29.7% from year-ago levels, due to larger activity levels.

During 2007, growth of the private sector loan portfolio was over of Ps. 2,400 million, totaling Ps. 9,300 million as of December 31, 2007, an increase of 37.1% over the balance recorded in the prior year. Special emphasis was placed on the retail segment, where personal loans had the most relevance with 94.1% growth during the year.

Despite a strong expansion in risk assets’, BBVA Banco Francés continued to improve its asset quality standards, with a non performing ratio of 0.59% over total financings and a coverage ratio of 315.6% as of December 31, 2007.

Public sector exposure was reduced by 23.1%, mainly due to the sale of Guaranteed Loans and Treasury Bonds during the first quarter of the year. It is important to mention that as a result of the recent international turmoil in financial markets and with the purpose of minimizing income volatility, our public assets portfolio, mainly bills and notes issued by the Central Bank, was classified in the “Available for Sale” category. By the end of 2007, the difference in the unrealized valuation of such assets totaled Ps. 42.8 million.

On the liabilities side, total deposit increased by Ps. 2,477 million or approximately 20%, during the 2007 year. At sight deposits posted the most important increases, allowing the Bank to improve its funding structure. As of December 31, 2007, the Bank’s funding structure reflected a higher participation from savings and current accounts, representing together 49% of total deposits.

The sustained growth in fee income, supported by a larger activity volume, partially offset the rise in administrative expenses. This increase in expenses was driven primarily by larger personnel and advertising expenditures and to a lesser extent increases in organizational and development expenses.

- 1 -

By the end of 2007, total stockholders equity amounted to Ps. 2,057 million with an excess slightly under Ps. 900 million over minimum local capital requirements. In terms of liquidity, the bank has a ratio of 43.9%, measured by cash and due from banks plus government and private securities as a percentage of total deposits, showing an adequate level of liquidity.


Condensed Income Statement (1)

*in thousands of pesos except income per share, income per ADS and* *percentages*	FY 2007		FY 2006		% Change
Net Financial Income	939,930		940,031		-0.01	%
Provision for loan losses	(62,262	)	(70,125	)	-11.21	%
Net income from services	571,354		440,670		29.66	%
Administrative expenses	(877,800	)	(714,975	)	22.77	%
Operating income	571,222		595,601		-4.09	%
Income (loss) from equity investments	41,784		93,981		-55.54	%
Income (Loss) from Minority interest	(627	)	(1,453	)	-56.85	%
Other Income/Expenses	(368,086	)	(501,536	)	-26.61	%
Income tax	(9,244	)	(6,556	)	41.00	%
Net income for the period	235,049		180,037		30.56	%
Net income per share (2)	0.50		0.38		30.56	%
Net income per ADS (3)	1.50		1.15		30.56	%

(1)	Exchange rate: 3.1510 Ps. = 1 US$

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

(3)	Each ADS represents three ordinary shares.

Fourth Quarter Executive Summary

•

During the last quarter of 2007, growth in the private sector loans portfolio rose by Ps. 978 million, representing a 12.2% increase for the quarter. In the retail segment, car and personal loans increased 46.9% and 20.8% respectively, while in the middle-market and corporate segments, growth was driven by discounted notes and commercial loans, principally those related with international trade, which posted increases of 15.6% and 9.2% respectively.

•

The previously described growth of the private sector loans portfolio reflected an increase in net financial income, which was 19.0% higher than the previous quarter and a 7.1% increase higher than the same quarter in 2006.

•

The growth sustained in the transactional business allowed BBVA Banco Francés to raise its net income from services. This source of income increased 5.7% compared to the previous quarter and 26.5% compared to the same quarter of the previous year.

•

During the last quarter of the year, public sector exposure, especially exposure to the National Treasury, was reduced by 4.6%, mainly due to a lower valuation of the Guaranteed Loans and BOGAR 2020 portfolio.

•

Deposits increased 5.0% throughout the last quarter. Balances in current and savings accounts grew the most, increasing their proportion of total deposits. This position enabled BBVA Banco Francés to reduce the impact of increases in interest rates for its funding costs.

- 2 -

Fourth Quarter and Fiscal Year 2007

The Argentine economy showed no signs of a slowdown in the fourth quarter of 2007. Industrial activity, as measured by the EMI index, increased by 4.3% in seasonally adjusted terms over the third quarter, almost doubling the pace of expansion recorded in the previous quarter. According to the EMAE (Monthly Estimator of Economic Activity), overall economic activity also accelerated, growing at an average annualized rate of 9.4% during October and November while growth during the July-September period had averaged 8.7%. Furthermore, compared to December of 2006, the index reflects an accumulated economic expansion of 8.6% during 2007.

Tax receipts rose 34.9% in the fourth quarter, in relation to the same quarter of the previous year, driven by VAT, social security contributions and export duties. The factors behind this increase were the growth in real incomes, a better control of tax compliance, a higher price level, and, in the case of social security, a larger formal economy and higher collections from the social security moratorium. The primary fiscal surplus of the National Public Sector fell 29.0 % because it was negatively affected by the 42.2 % increase in primary expenditures; in addition, there was only Ps 0.5 billion of extraordinary incomes related to the social security reform during this quarter.

Inflation, as measured by the CPI index of the Greater Buenos Aires area (which is used to calculate CER adjustment for sovereign bonds) averaged 8.5% y/y during this period, compared to 10.1% y/y in the fourth quarter of 2006.

There was a sharp rise in the trade surplus during the quarter which increased to USD 3962 million, more than doubling the weak numbers of the previous quarter. The improvement was due to a very strong export performance (32.8% y/y growth), particularly in primary products, since imports continued to rise at a similar rate to the third quarter (around 30% y/y).

The Exchange rate (“referencia BCRA”) fell to Ps 3.14 by the end of December after having reached a maximum of 3.18 in October. During the quarter, the system liquidity was restored, the Central Bank purchased USD 1.5 billion in the FX market and the international reserves reached USD 46.2 billion at the end of December, an increase of USD 3.3 billion during the quarter. Interest rates continued to be at higher but stable levels, the Badlar rate at private banks stabilized at a level of about 13.6 %.

The Central Bank continued to provide liquidity to the financial institutions repurchasing securities on the secondary markets and only partially renewing Lebacs and Nobacs maturities. Deposits of the private sector grew 5.8 % on average during the quarter, mainly in December due to the recurring end of the year seasonality. Loans to the private sector exhibited a strong growth of 10.2 % during the quarter principally the consumer lines.

- 3 -

The Business

Ranking among the leading private banks in Argentina, BBVA Banco Francés is one of the largest providers of financial and non-financial services to the different market segments. Throughout its nationwide branch network, including more than 230 retail branches, 27 specialized branches in middle-market companies, and 4 corporate branches, BBVA Banco Francés has been strengthening its presence in the market and reinforcing its relationship with its clients.

With an expanding economy as a background, BBVA Banco Francés strengthened its lending activity in the private sector, principally in the retail and middle-market segments, maintaining at the same time its leading position in large corporate segment. Responding to an increasing demand from individuals, 2007 showed record numbers in terms of consumer financing, where personal loans grew the most, followed by important gains in car loans and credit cards. On the other side, corporate and middle-market financing was driven by advances, discounted notes, and international trade transactions.

Furthermore, the strong performance of our core business was clearly reflected in the solid growth in income from services. Transactional business consolidation, including the administration of payment systems (with emphasis on the electronic system), insurances, new accounts, and credit and debit card operations, provided additional proceeds to the Bank’s operating income, as well as allowing it to maintain the coverage ratio of expenses with fee income stable at 69%.

In November 2007, the Bank launched the “Blue” segment, specially designed and directed to existing and potential clients within the ages of 18 and 30 years old, offering them benefits, discounts and products typical of their age bracket, to better satisfy their needs.

In terms of the activity on the liability side, BBVA Banco Francés focused on maintaining its leading position in the market. Still trying to achieve a more stable and cheaper funding structure, the Bank focused on deposits from retail funds.

Presentation of Financial Information

•

All foreign currency balances as of December 31, 2007 have been translated into pesos at the reference exchange rate of Ps. 3.1510 per U.S. dollar, published by the BCRA for that day.

•

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 booked by the equity method; BBVA Banco Francés’ stake in the Consolidar Group and the Consolidar Group’s results are included in Investments in other companies and Income from equity investments, respectively.

•

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

- 4 -

FOURTH QUARTER EARNINGS

Condensed Income Statement (1)


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except income per share, income per ADS and percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Net Financial Income	237,276		199,320		221,467		19.04	%	7.14	%
Provision for loan losses	(25,221	)	(13,605	)	(17,514	)	85.38	%	44.00	%
Net income from services	156,607		148,196		123,765		5.68	%	26.54	%
Administrative expenses	(268,675	)	(219,428	)	(203,174	)	22.44	%	32.24	%
Operating income	99,987		114,483		124,544		-12.66	%	-19.72	%
Income (loss) from equity investments	18,658		(412	)	44,312		-4628.64	%	-57.89	%
Income (Loss) from Minority interest	1,157		(330	)	(392	)	-450.61	%	-395.15	%
Other Income/Expenses	(106,082	)	(38,928	)	(118,651	)	172.51	%	-10.59	%
Income tax and Minimum Presumed Tax	(3,162	)	(1,706	)	(1,766	)	85.35	%	-79.05	%
Net income for the period	10,558		73,107		48,047		-85.56	%	-78.03	%
Net income per share (2)	0.02		0.16		0.10		-85.56	%	-78.03	%
Net income per ADS (3)	0.07		0.47		0.31		-85.56	%	-78.03	%

(1)	Exchange rate: 3.1510 Ps. = 1 US$

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

(3)	Each ADS represents three ordinary shares.

Net income for the quarter ended on December 31, 2007 totalized Ps. 10.6 million, being less than the Ps. 73.1 million and Ps. 48.0 million registered in the previous quarter and in the same quarter of 2006, respectively. The reduction in net income as compared to the same quarter of previous year is explained by higher administration expenses partially offset by higher financial incomes and incomes from services. And the lower net income as compared to prior quarter is related to a higher provision for loan loses, legal injunctions’ loss and the provisions registered for other contingencies.

Notwithstanding, the increase in the private portfolio is reflected an increase in net financial income, which was 19.0% higher than the previous quarter and 7.1% higher than the same quarter in 2006. The improvements in the structure of recurring income were also reflected in net income from services that, as a consequence of a greater activity volume, recorded an increase of 5.7% compared with the prior quarter and of 26.5% as compared to the same quarter of 2006.

Similarly, administrative expenses also increased, due to larger personnel and advertising expenditures, and to a lesser extent due to organizational expenses development. The above-mentioned growth in private lending activity led to an increase in the charge for non-performing assets, mainly reflected in greater amounts of provisions made on the new loan portfolio.

On the other side, net income in the quarter was negatively affected by the legal injunctions’ loss amortization, which totaled Ps. 74.7 million. It is important to mention that this amortization is in accordance with the Central Bank’s regulations and does not imply that the Bank waives its right to demand future compensation. As of December 31, 2007, the assets related with legal injunctions, after amortizations, reached Ps. 57.5 million.

- 5 -


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Return on Average Assets (1)	0.22	%	1.62	%	1.17	%	-86.37	%	-81.15	%
Return on Average Shareholders’ Equity (1)	2.05	%	14.35	%	9.96	%	-85.70	%	-79.39	%
Net fee Income as a % of Operating Income	39.76	%	42.64	%	35.85	%	-6.76	%	10.91	%
Net fee Income as a % of Administrative Expenses	58.29	%	67.54	%	60.92	%	-13.69	%	-4.31	%
Adm. Expenses as a % of Operating Income (2)	68.21	%	63.14	%	58.85	%	8.03	%	15.91	%

(1)	Annualized.

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

Net Financial Income

During the fourth quarter of fiscal year 2007, net financial income reached Ps. 237.3 million, 19.0% higher than the third quarter of 2007 and 7.1% higher than the fourth quarter of 2006, when net financial income totaled Ps. 199.3 million and Ps. 221.5 million, respectively.

The increase in net financial income, as compared with the prior quarter, is due to the growth described for the private margin, and the increase of CER position results, due to the increase in such index. This result is also supported by a higher gain generated by bills and notes issued by Central Bank, related to the recovery in their valuations. It is important to mention that, during the third quarter, as a result of the unstable market conditions the government bond portfolio was deteriorated and impacted negatively in third quarter earnings.

In addition, during the third quarter, our public assets portfolio, mainly bills and notes issued by the Central Bank, was classified in the “Available for Sale” category. During the fourth quarter, the valuation difference of those assets grew Ps. 13.8 million. This increase is related with the lower valuation of the bonds included in such category partially offset by an increase in the valuation of bills and notes issued by Central Bank.

Similarly, the net financial income variation as compared with the same quarter of the previous year reflects the increase in lending activity, partially offset by a lower income from the CER position, due to a decrease in the CER index, and a lower income from bills and notes issued by Central Bank.

- 6 -

Public Sector Exposure


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Public Sector—National Government	2,724,883		2,856,324		3,544,236		-4.60	%	-23.12	%
- Loans to the Federal government & Provinces	1,415,763		1,500,731		2,118,762		-5.66	%	-33.18	%
- Total bond portfolio	1,174,701		1,181,236		1,255,499		-0.55	%	-6.44	%
Compensatory bond	—		—		108,622		0.00	%	-100.00	%
Other government bonds	1,174,701		1,181,236		1,146,877		-0.55	%	2.43	%
- Trustees	195,374		189,500		185,118		3.10	%	5.54	%
- Allowances	(60,955	)	(15,143	)	(15,143	)	302.53	%	302.53	%

*Bills and Notes from Central Bank ()**	2,344,567		2,695,141		1,704,647		-13.01	%	37.54	%

Total exposure to the Public Sector	5,069,450		5,551,465		5,248,883		-8.68	%	-3.42	%

(*)	Including repos with the BCRA

During 2007, the exposure to the public sector National Treasury (excluding Bills and Notes issued by the Central Bank) decreased by 23.1% (Ps. 819.4 million). This fall is related to the sale of public sector guaranteed loans, jointly with the sale of peso denominated Discount bond and compensatory bond (BODEN 2012), made during the first quarter of 2007. On the other hand, but to a lower extent, the drop is related to the principal amortization of guaranteed loans partially offset by an increase in that portfolio resulting from its adjustment by the CER index.

During the last quarter of the year, the decrease reached 4.6% (Ps. 131.4 million), mainly by a lower valuation of guaranteed loans and BOGAR 2020 portfolio due to an increase in the discount rate published by the Central Bank. The increase in the allowances in the last quarter of 2007, Ps. 45.8 million, is related to the lower valuation of BOGAR 2020 portfolio.

Bills and notes issued by the Central Bank grew by 37.5% (Ps. 639.9 million) in 2007; however, these fell by 13.0% (Ps. 350.6 million) in the last quarter of the year. Such variations are mainly related to the allocation of transitory liquidity.

Total loan portfolio

The private sector loan portfolio grew more than Ps. 2,400 million during 2007 and totaled Ps. 9,003 million as of December 31, 2007. During the last quarter, the growth was Ps. 978 million, representing 12.2% growth. During the same period, loans to the private sector from total the total financial system increased 10.2%, allowing the bank to improve its market share.

The bank focused on the retail and middle market segment, where personal loans had the greater relevance increasing by Ps. 648 million, or 94.1% during the year and by Ps. 238 million, or 20.8% for the last quarter. In addition, car loans, mortgages and credit cards increase by 157.3% (Ps. 155 million), 67.6% (Ps. 311 million) and 52.5% (Ps. 276 million), respectively, as compared to the previous year. The growth in car loans during the last quarter was also supported by the Bank’s launch of its automobile financing product.

- 7 -

On middle market segment, discounted notes and other loans, mainly exports operations, grew by 80.4% (Ps. 638 million) and 16.9% (Ps. 385 million), respectively during 2007. These increases are evidence of the growth experienced by the small and middle market business segment. As regards the large corporate segment, the bank kept its leading position even though it suffered a decrease in advances.

The relation between private loans and securities over total private and public sector loans and securities, excluding the Central Bank’s portfolio, increased due to the continuous expansion in the private sector loan portfolio and the reduction in the public sector exposure. Such relation reached a 77.4% as of December 31, 2007, higher than the 74.5% registered on September 30, 2007, and the 65.8% registered on December 31, 2006.

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


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Private & Financial sector loans	9,002,814		8,025,193		6,565,323		12.18	%	37.13	%
Advances	1,326,474		1,338,794		1,469,371		-0.92	%	-9.73	%
Discounted and purchased notes	1,430,787		1,237,216		793,195		15.65	%	80.38	%
Consumer Mortgages	772,036		666,898		460,559		15.77	%	67.63	%
Car secured loans	253,130		172,320		98,381		46.90	%	157.30	%
Personal loans	1,337,179		1,106,999		689,019		20.79	%	94.07	%
Credit cards	802,647		671,607		526,416		19.51	%	52.47	%
Loans to financial sector	487,039		465,424		340,966		4.64	%	42.84	%
Other loans	2,666,750		2,442,811		2,282,153		9.17	%	16.85	%
Unaccrued interest	(13,756	)	(10,366	)	(5,543	)	32.70	%	148.17	%
Adjustment and accrued interest & exchange differences receivable	139,256		115,326		77,903		20.75	%	78.76	%
Less: Allowance for loan losses	(198,728	)	(181,836	)	(167,097	)	9.29	%	18.93	%
Loans to public sector	1,415,763		1,500,731		2,118,762		-5.66	%	-33.18	%
Loans to public sector	669,767		737,572		1,095,981		-9.19	%	-38.89	%
Adjustment and accrued interest & exchange differences receivable	745,996		763,159		1,022,781		-2.25	%	-27.06	%
Net total loans	10,418,577		9,525,924		8,684,085		9.37	%	19.97	%

- 8 -

Government and Private Securities

The table below shows the government and private securities portfolio as of December 31, 2007, including repurchase agreement transactions.


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Holdings	3,573,524		3,996,178		3,033,835		-10.58	%	17.79	%
Trading	1,242,787		1,540,469		1,725,893		-19.32	%	-27.99	%
Investment Accounts	—		—		200,354		—		-100.00	%
Unlisted Government Securities	903,897		876,865		843,792		3.08	%	7.12	%
Available for Sale	1,372,584		1,459,043		—		-5.93	%	—
Investment accounts—Compensatory bond	—		—		108,622		—		-100.00	%
Other fixed income securities	115,211		134,944		170,317		-14.62	%	-32.35	%
Allowances	(60,955	)	(15,143	)	(15,143	)	302.53	%	—

Repurchase Agreements	(165,389	)	(488,085	)	307,900		-66.11	%	-153.72	%
Trading (Reverse repo)	—		—		307,900		—		-100.00	%
Trading (Reverse repo)	(165,389	)	(488,085	)	—		-66.11	%	—

Net Position	3,408,135		3,508,093		3,341,735		-2.85	%	1.99	%
Trading	1,077,398		1,052,384		2,033,793		2.38	%	-47.03	%
Investment Accounts	—		—		200,354		—		-100.00	%
Unlisted Government Securities	903,897		876,865		843,792		3.08	%	7.12	%
Available for Sale	1,372,584		1,459,043		—		-5.93	%	—
Investment accounts—Compensatory bond	—		—		108,622		—		-100.00	%
Other fixed income securities	115,211		134,944		170,317		-14.62	%	-32.35	%
Allowances	(60,955	)	(15,143	)	(15,143	)	302.53	%	302.53	%

Net Position in other fixed income securities as of December 31, 2007 includes Ps. 115.2 million of private bonds

The government and private securities net position remained stable during the year. Such position increased by Ps. 66.4 million, or 2.0% in 2007, while during the last quarter it decreased by Ps. 99.9 million, or 2.9%. During the third quarter, the Bank booked into the “Available for sale” category part of the bills and notes issued by the Central Bank holdings and certain bonds. Such portfolio decreased by 5.9% (Ps. 86.5 million) due to a principal amortization of bills and notes issued by the Central Bank partially offset by a higher valuation of such holdings.

The increase in the government and private securities net position recorded during 2007 was mainly explained by an increase in the bills and notes issued by the Central Bank portfolio partially offset by a decrease in the investments accounts, due to the sale of peso denominated Discount bond and compensatory bond (BODEN 2012), made during the first quarter of 2007.

Income from Securities and Short-Term Investments

In the fourth quarter of 2007, income from securities and short-term investments showed a recovery. With a Ps. 61.3 million profit, it grew 81.8% (Ps. 27.6 million) as compared to the third quarter but decreased 27.7% (Ps. 23.5 million) regarding previous year’s same period. This was mainly cause by a decrease in the valuation of BOGAR 2020. Such income increased in last quarter, was due to a higher valuation of bills and notes issued by the Central Bank booked into “Available for sale” category.

Finally, the bank showed an increase in the CER adjustment due to a higher index variation in the last quarter.

- 9 -


						% Change Qtr ended
	Quarter ended					12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06	09/30/07		12/31/06
Income from securities and short-term investments	61,320		33,736		84,794	81.77	%	-27.68	%
Trading account	8,730		(2,645	)	7,712	-430.03	%	13.19	%
Available for sale	47,819		27,334		—	74.94	%	100.00	%
Bills and Notes from the Central Bank	43,128		43		68,052	-100663.22	%	-36.62	%
Investment account—Compensatory bond	—		—		1,326	0.00	%	-100.00	%
Other fixed income securities	(38,356	)	9,003		7,703	-526.02	%	-597.93	%

CER adjustment	23,663		16,019		24,196	47.72	%	-2.20	%
CER adjustment—Trading account	—		—		—	—		—
CER adjustment—Investment account	—		—		—	—		—
CER adjustment—Other fixed securities	23,663		16,019		24,196	47.72	%	-2.20	%

Funding Sources

During the year 2007, deposits – excluding rescheduled deposits – grew by Ps. 2,477 million. Growth was driven by a 26.0% and a 24.1% raise in current and saving accounts respectively. This helped BBVA Banco Francés reduce the impact in its costs of funding from the interest rate increase. As of December 31, 2007, the current and saving accounts represented a higher proportion of the funding mix.

By contrast, CER adjusted deposits decreased by 68.4% during the 2007, year, totaling Ps. 551 million. Similarly, during the quarter of the year, such deposits decreased by 39.4% (Ps. 165 million) and caused an increase in the CER index adjusted position for assets and liabilities.

Growth in foreign currency-denominated deposits during the last quarter of 2007 slowed to 5.5%. As of December 31, 2007, foreign currency-denominated deposits amounted to Ps. 2,459 million (equivalent to U$S 780 million), representing 16.3% of total deposits.

- 10 -


				% Change Qtr ended
	Quarter ended			12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07	09/30/07	12/31/06	09/30/07		12/31/06
Total deposits	14,894,468	14,181,110	12,417,476	5.03	%	19.95	%
Current accounts	3,028,835	2,813,818	2,403,702	7.64	%	26.01	%
Peso denominated	3,023,606	2,808,300	2,398,735	7.67	%	26.05	%
Foreign currency	5,229	5,518	4,967	-5.24	%	5.27	%
Savings accounts	4,237,766	3,736,820	3,415,263	13.41	%	24.08	%
Peso denominated	3,198,958	2,734,932	2,601,464	16.97	%	22.97	%
Foreign currency	1,038,808	1,001,888	813,799	3.69	%	27.65	%
Time deposits	7,354,180	7,325,613	6,226,185	0.39	%	18.12	%
Peso denominated	5,797,308	5,731,427	4,529,222	1.15	%	28.00	%
CER adjusted time deposits	254,205	419,702	805,583	-39.43	%	-68.44	%
Foreign currency	1,302,667	1,174,484	891,380	10.91	%	46.14	%
Investment Accounts	13,152	17,603	145,337	-25.29	%	-90.95	%
Peso denominated	13,152	17,603	145,337	-25.29	%	-90.95	%
Foreign currency	0	0	0	0.00	%	0.00	%
Other	260,535	287,256	226,989	-9.30	%	14.78	%
Peso denominated	147,669	138,586	119,622	6.55	%	23.45	%
Foreign currency	112,866	148,670	107,367	-24.08	%	5.12	%

*Rescheduled deposits ()**	177,753	194,308	228,049	-8.52	%	-22.05	%
Peso denominated	177,753	194,308	228,049	-8.52	%	-22.05	%

Total deposits + Rescheduled deposits & CEDROS	15,072,221	14,375,418	12,645,525	4.85	%	19.19	%

^(*)	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

During 2007 other funding sources decreased by 4.9% while in the last quarter they had grown by 34.1%, mainly due to higher balances in loans received for foreign trade operations.

The decrease in other funding sources during the 2007 year is explained by the advanced payment of Class 15 Notes due 2008, in an aggregate principal amount of U$S 121.5 million, which occurred on March 15, 2007.


				% Change Qtr ended
	Quarter ended			12/31/07 vs. Qtr ended
*in thousands of pesos*	12/31/07	09/30/07	12/31/06	09/30/07		12/31/06
Lines from other banks	634,583	473,138	415,592	34.12	%	52.69	%
Senior Bonds	—	—	251,650	—		-100.00	%
Other banking liabilities	634,583	473,138	667,242	34.12	%	-4.89	%
Subordinated Debt	—	—	—	—		—

Total other funding sources	634,583	473,138	667,242	34.12	%	-4.89	%

As of December 31, 2007, 89% of other funding sources were foreign currency denominated funds and so where affected by the depreciation of the Ps. which, during the year, was 2.66% related with US Dollar.

- 11 -

Asset Quality

In terms of asset quality, BBVA Banco Francés maintains its strength in the Financial Industry as asset quality ratios kept on improving. As of December 31, 2007, the non-performing ratio related to all types of financing reached 0.59%, with coverage of non-performing loans with provisions of 315.6%.

It is important to mention that the non-performing loans dropped by 14.7% during the last three months and by 21.2% during the last year. Meanwhile, allowances grew by 9.3% during the last quarter and by 18.9% during the 2007 year. Such increase in allowances is related to the private sector loan portfolio expansion.


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Nonaccrual loans (1)	62,979		73,864		79,876		-14.74	%	-21.15	%
Allowance for loan losses	(198,728	)	(181,836	)	(167,097	)	9.29	%	18.93	%
Nonaccrual loans/net total loans	0.59	%	0.76	%	0.90	%	-22.04	%	-34.27	%
Allowance for loan losses/nonaccrual loans	315.55	%	246.18	%	209.20	%	28.18	%	50.84	%
Allowance for loan losses/net total loans	1.87	%	1.87	%	1.89	%	-0.07	%	-0.85	%

(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 loan losses provisions, including allowances related to other banking receivables.


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Balance at the beginning of the quarter	183,599		179,178		149,981		2.47	%	22.41	%
Increase	25,221		13,605		17,514		85.38	%	44.00	%
Provision increase/decrease—Exchange rate difference	22		458		(219	)	-95.20	%	110.05	%
Decrease	(8,213	)	(9,642	)	849		-14.82	%	-1067.37	%
Balance at the end of the quarter	200,629		183,599		168,125		9.28	%	19.33	%

The increases are mainly explained by the creation of provisions on the normal loan portfolio. The growth in private sector financing explains the increase in the quarter provisions; whereas the decrease is related to the write-offs in the non-performing portfolio.

Net income from services

The steady expansion in the transactional business has allowed the Bank to maintain this significant source of income. During the quarter ended December 2007, net income from services grew by 5.7% and 26.5% as compared to quarters ended on September 2007 and December 2006, respectively.

This growth with respect to the prior quarter is explained by an increase in fees related to the consumer segment, mainly those from current and saving accounts, credit cards and insurance fees, jointly with those related to foreign trade in middle market segment.

Finally, it’s important to highlight the growth led by fees related to capital markets and securities activities, in response to a higher level of commercial operations.

- 12 -


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Net income from services	156,607		148,196		123,765		5.68	%	26.54	%

Service charge income	194,423		183,243		150,384		6.10	%	29.28	%
Service charges on deposits accounts	68,519		64,516		54,859		6.20	%	24.90	%
Credit Cards and operations	44,569		40,351		28,258		10.45	%	57.72	%
Insurance	14,878		14,607		11,047		1.85	%	34.68	%
Capital markets and securities activities	4,554		2,491		4,075		82.85	%	11.76	%
Fees related to Foreign trade	11,276		12,316		9,571		-8.45	%	17.81	%
Other fees	50,627		48,962		42,574		3.40	%	18.92	%

Services Charge expense	(37,816	)	(35,047	)	(26,619	)	7.90	%	42.06	%

Income related to foreign currency exchange transactions is not included in this table, since it is accounted for in net financial income as an income from foreign currency trading. During the last quarter, such income amounted to Ps. 31.5 million, a 34.5% lower compared to previous quarter. It is important to mention that during the quarter ended September 30, 2007, there was an exceptional income due to a larger number of operations. However, last quarter income was 49.5% higher than the same period of previous year. The Bank currently purchases and sells U.S. dollars through all of the Bank’s branch offices, over the ATM network and the Internet.

Administrative expenses

The raise in administrative expenses recorded during the last quarter of 2007 is mainly relating to an increase in personnel expenses, advertising and promotion and organization and to a lesser extent to organization and development expenses.

The higher personnel expenses, during the last quarter, are mainly explained by an adjustment in the bonus provisioning, and a larger number of employees. Salary increases reached through agreement with the labor union during April 2007, also explain such increase.

The raise in advertising and promotion expenses is related to a more aggressive commercial strategy and to the launch of the “Blue” segment product, specially designed and directed to existing and potential clients within the ages of 18 and 30 years old, offering them benefits, discounts and products typical of their segment, which will better satisfy their needs.

As of December 31, 2007, the Bank had 4,094 employees (including the Bank’s subsidiaries, except for the Consolidar Group). The network included 232 consumer branch offices, 27 branch offices specialized in the middle-market segment, 11 in-company branches, 4 branch offices for large corporate and institutional clients and 2 sale points.

- 13 -


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Administrative expenses	(268,675	)	(219,428	)	(203,174	)	22.44	%	32.24	%

Personnel expenses	(167,506	)	(127,255	)	(123,180	)	31.63	%	35.98	%
Electricity and Communications	(5,848	)	(5,666	)	(4,476	)	3.21	%	30.65	%
Advertising and Promotion	(22,250	)	(14,498	)	(11,624	)	53.47	%	91.41	%
Honoraries	(6,545	)	(6,054	)	(6,789	)	8.11	%	-3.59	%
Taxes	(4,716	)	(6,426	)	(5,609	)	-26.61	%	-15.92	%
Organization and development expenses	(2,953	)	(1,450	)	(1,188	)	103.66	%	148.57	%
Amortizations	(9,124	)	(7,553	)	(7,143	)	20.80	%	27.73	%
Other	(49,733	)	(50,526	)	(43,165	)	-1.57	%	15.22	%

Other Income/Expenses

During the last quarter, Other Income/Expenses totaled a loss of Ps. 106.1 million, mainly related to the monthly amortization of the loss derived from the payment of deposits under judicial injunctions, Ps. 74.7 million, and to the provisions registered for other contingencies.

It is important to mention that such amortization is booked in accordance with Central Bank’s regulation (which does not imply that the Bank waives its right to demand a future compensation). As of December 31, 2007, net judicial injunctions assets totaled Ps. 57.5 million.

BBVA Banco Francés determines the charge for income tax by applying the current tax rate of 35% to taxable income estimated for each period considering the effect of temporary differences between book and taxable income. The Bank has considered as temporary differences those that have a definitive reversal date in subsequent fiscal years. At the same time, as of December 31, 2007 and December 31, 2006 the Bank has concluded that it must not pay income tax due to the existence of a net operating loss from previous years, for income tax purposes.

As of December 31, 2007 and as December 31, 2006, the Bank maintains recorded in its books under Other Receivables (in the Tax Advance account), a taxable deferred asset amounting to Ps. 55.5 million and Ps. 337.0 million, respectively; the Bank has set up a provision for the net balance between the deferred tax assets and liabilities.

Income from equity investments

Income from Equity Investments sets forth net income from related companies, which are not consolidated, mainly the Consolidar Group. During the fourth quarter of 2007, the Bank registered a gain of Ps. 19.9 million derived from its stake in the Consolidar Group.

Capitalization

As of December 31, 2007, BBVA Banco Francés is the second larger private bank in terms of capitalization, with a shareholders’ equity of Ps. 2,057 million with an excess capital over minimum requirements in accordance to Central Bank regulations of Ps. 896 million. Such excess provide enough resources to maintain the private sector loan portfolio growth.

- 14 -

Unapropiated earnings grew by 11.9% and 1.8% during the last twelve and three months, respectively. The increase registered in the last year is related to accumulated earnings partially offset by a cash dividend payment of $ 90 million, which took place on May 2007, and by an increase in the legal reserve.

Unrealized Valuation Difference increased by Ps. 13.8 million during the fourth quarter. Such increase is related to a lower valuation of Public Securities listed as “Available for sale”, partially offset by a higher valuation from notes issued by Central Bank booked as “Available for sale”.

Finally, as of December 31, 2007, the asset corresponding to the Minimum Presumed Income Tax reached an accumulated Ps 186.8 million.


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
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	547,381		547,381		465,317		0.00	%	17.64	%
Unapropiated retained earnings	592,780		582,222		529,795		1.81	%	11.89	%
Unrealized valuation difference	(42,796	)	(29,037	)	—		47.38	%	0.00	%
Total stockholders’ equity	2,056,837		2,060,038		1,954,584		-0.16	%	-5.23	%

							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in thousands of pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
Central Bank Minimum Capital Requirements	1,337,004		1,199,510		1,051,113		11.46	%	27.20	%
Central Bank Minimum Capital Requirements (a, b)	1,175,292		1,073,297		931,187		9.50	%	26.21	%
Market Risk	108,280		82,578		73,367		31.12	%	47.59	%
Increase in capital requirements related to custody	53,432		43,635		46,559		22.45	%	14.76	%

a) Central Bank Minimum Capital Requirements	1,175,292		1,073,297		855,420		9.50	%	37.39	%
Allocated to Asset at Risk	760,014		679,163		540,415		11.90	%	40.64	%
Allocated to Immobilized Assets	94,852		101,284		116,944		-6.35	%	-18.89	%
Interest Rate Risk	174,544		144,855		98,833		20.50	%	76.60	%
Loans to Public Sector and Securities in Investment	145,882		147,995		99,228		-1.43	%	47.02	%
Non Compliance of Other Credit Regulations	—		—		—		—		—

b) Minimum capital required for Pension Funds (AFJPs) to act as securities custodian and registrar of mortgage notes	1,068,636		872,702		931,187		22.45	%	14.76	%
5% of the securities in custody and book-entry notes	1,068,636		872,702		931,187		22.45	%	14.76	%

Bank Capital Calculated under Central Bank Rules	2,233,040		2,199,493		2,089,708		1.53	%	6.86	%
Core Capital	1,864,585		1,864,585		1,774,548		0.00	%	5.07	%
Minority Interest	236,018		231,297		216,480		2.04	%	9.03	%
Supplemental Capital	235,272		201,641		190,866		16.68	%	23.27	%
Deductions	(102,835	)	(98,030	)	(92,186	)	4.90	%	11.55	%
Excess over Required Capital	896,036		999,983		1,038,595		-10.39	%	-13.73	%

- 15 -

Recent Developments

On February 12, 2008, the Board of Directors’ Meeting approved a resolution to submit a proposal to the Shareholders’ Meeting, which is to be held on March 28, 2008, to distribute a total of Ps. 164,000,000 as cash dividends. Such distribution, which is subject to prior regulatory and contractual authorizations, shall be made pro-rata to the nominal holdings of each shareholder, (Ps. 0.34793 per share).

Additional information


							% Change Qtr ended
	Quarter ended						12/31/07 vs. Qtr ended
*in pesos except percentages*	12/31/07		09/30/07		12/31/06		09/30/07		12/31/06
- Exchange rate	3.1510		3.1495		3.0695		0.05	%	2.66	%
- Quarterly CER adjustment (CPI)	2.30	%	1.50	%	2.46	%	53.78	%	-6.14	%

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 Thursday, February 14, at 10 AM New York time – 1 PM Buenos Aires time. If you are interested in participating please dial (719) 325-4772 at least 5 minutes prior to our conference. Confirmation code: 3554356. To receive the tape of this conference call, please call (719) 457-2865.

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

- 16 -


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

(in thousands of pesos)	12/31/07		09/30/07		06/30/07		12/31/06
ASSETS:
Cash and due from banks	3,127,740		2,483,360		2,477,494		2,535,448
Government and Private Securities	3,490,994		3,915,127		3,557,284		2,957,150
- Investment account	—		—		—		308,976
- Trading account (listed securities)	31,288		39,166		349,069		102,726
- Available for sale	1,372,584		1,459,043		—		—
- Unlisted	903,903		876,871		915,866		843,797
- Listed Private Securities	32,764		53,893		33,797		12,147
- Bills and Notes from the Central Bank	1,211,414		1,501,297		2,273,695		1,704,647
Less: Allowances	(60,959	)	(15,143	)	(15,143	)	(15,143	)
Loans	10,418,577		9,525,924		8,633,955		8,684,085
- Loans to the private & financial sector	9,002,814		8,025,193		7,206,262		6,565,323
- Advances	1,326,474		1,338,794		1,580,340		1,469,371
- Discounted and purchased notes	1,430,787		1,237,216		955,935		793,195
- Secured with mortgages	772,036		666,898		575,328		460,559
- Car secured loans	253,130		172,320		134,763		98,381
- Personal loans	1,337,179		1,106,999		927,236		689,019
- Credit cards	802,647		671,607		609,671		526,416
- Loans to financial sector	487,039		465,424		388,063		340,966
- Other loans	2,666,750		2,442,811		2,127,245		2,282,153
Less: Unaccrued interest	(13,756	)	(10,366	)	(6,429	)	(5,543	)
Plus: Interest & FX differences receivable	139,256		115,326		92,157		77,903
Less: Allowance for loan losses	(198,728	)	(181,836	)	(178,047	)	(167,097	)
- Public Sector loans	1,415,763		1,500,731		1,427,693		2,118,762
Principal	669,767		737,572		687,092		1,095,981
Plus: Interest & FX differences receivable	745,996		763,159		740,601		1,022,781
Other banking receivables	916,300		1,179,748		1,138,822		903,431
- Repurchase agreements	150,154		438,855		363,755		307,900
- Unlisted private securities	58,277		59,187		58,828		58,684
- Unlisted Private securities: Trustees	24,170		21,864		20,799		18,001
- Other banking receivables	685,600		661,605		696,571		519,874
- Less: provisions	(1,901	)	(1,763	)	(1,131	)	(1,028	)
Investments in other companies	411,979		395,550		379,960		356,011
Intangible assets	91,680		149,685		207,852		375,587
- Goodwill	12,200		13,857		15,515		18,831
- Organization and development charges	21,991		18,773		16,347		13,306
- Assets related to legal injunctions	57,489		117,055		175,990		343,450
Other assets	1,043,623		991,586		965,344		892,866

TOTAL ASSETS	19,500,893		18,640,980		17,360,711		16,704,578


	12/31/07		09/30/07		06/30/07		12/31/06
LIABILITIES:
Deposits	15,072,221		14,375,418		13,339,483		12,645,525
- Current accounts	3,028,835		2,813,818		2,683,249		2,403,702
- Saving accounts	4,237,766		3,736,820		3,624,614		3,415,263
- Time deposits	7,354,180		7,325,613		6,522,326		6,226,185
- Rescheduled deposits—CEDROS	177,753		194,308		204,685		228,049
- Other deposits	273,687		304,859		304,609		372,326
Other banking Liabilities	1,746,844		1,637,951		1,430,623		1,480,735
Other provisions	321,543		326,221		363,305		392,687
- Other contingencies	321,130		325,794		362,875		392,257
- Guarantees	413		427		430		430
Other liabilities	288,965		225,713		196,022		217,190
Minority interest	14,483		15,639		15,310		13,857

TOTAL LIABILITIES	17,444,056		16,580,942		15,344,743		14,749,994

TOTAL STOCKHOLDERS’ EQUITY	2,056,837		2,060,038		2,015,968		1,954,584

Total liabilities + stockholders’ equity	19,500,893		18,640,980		17,360,711		16,704,578

- 17 -


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

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

Financial income	451,547		363,228		359,559		380,162
- Interest on Cash and Due from Banks	5,554		5,275		4,634		4,023
- Interest on Loans Granted to the Financial Sector	16,509		12,981		11,118		9,357
- Interest on Overdraft	52,013		46,644		33,761		35,097
- Interest on Discounted and purchased notes	36,924		26,619		19,832		17,437
- Interest on Mortgages	19,707		16,820		14,555		12,157
- Interest on Car Secured Loans	5,809		3,820		2,948		2,242
- Interest on Credit Card Loans	16,804		14,019		12,568		9,600
- Interest on Other Loans	92,321		75,307		68,999		57,128
- Income from Securities and Short Term Investments	61,320		33,736		66,513		84,794
- Interest on Government Guaranteed Loans Decreet 1387/01	16,012		15,209		20,363		26,828
- From Other Banking receivables	6,702		6,046		5,315		6,806
- CER	51,921		36,977		45,366		72,529
- CVS	—		—		—		—
- Foreign exchange difference	32,977		37,672		24,255		21,733
- Other	36,974		32,103		29,332		20,431
Financial expenses	(214,271	)	(163,908	)	(146,600	)	(158,695	)
- Interest on Current Account Deposits	(5,825	)	(4,764	)	(6,068	)	(6,843	)
- Interest on Saving Account Deposits	(1,951	)	(1,798	)	(1,618	)	(1,422	)
- Interest on Time Deposits	(166,701	)	(121,623	)	(102,206	)	(100,885	)
- Interest on Other Banking Liabilities	(10,493	)	(8,079	)	(4,892	)	(9,462	)
- Other interests (includes Central Bank)	(1,654	)	(599	)	(2,258	)	(4,354	)
- CER	(7,622	)	(8,206	)	(13,191	)	(22,400	)
- Bank Deposit Guarantee Insurance system mandatory contributions	(6,296	)	(5,941	)	(5,883	)	(5,314	)
- Foreign exchange difference	(29	)	7		(7	)	—
- Mandatory contributions and taxes on interest income	(11,635	)	(10,096	)	(8,671	)	(6,946	)
- Other	(2,065	)	(2,809	)	(1,806	)	(1,069	)
Net financial income	237,276		199,320		212,959		221,467
Provision for loan losses	(25,221	)	(13,605	)	(13,810	)	(17,514	)
Income from services, net of other operating expenses	156,607		148,196		136,858		123,765
Administrative expenses	(268,675	)	(219,428	)	(204,645	)	(203,174	)
Income (loss) from equity investments	18,658		(412	)	5,931		44,312
Net Other income	(106,082	)	(38,928	)	(51,529	)	(118,651	)
Income (loss) from minority interest	1,157		(330	)	(811	)	(392	)
Income before tax	13,720		74,813		84,953		49,813
Income tax	(3,162	)	(1,706	)	(2,009	)	(1,766	)

Net income	10,558		73,107		82,944		48,047

- 18 -


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

	12/31/07		09/30/07		06/30/07		12/31/06
ASSETS
Cash and due from banks	3,169,314		2,574,759		2,498,540		2,558,484
Government Securities	5,181,253		5,400,573		5,071,747		4,372,032
Loans	11,390,121		10,563,216		9,642,921		9,534,183
Other Banking Receivables	956,184		1,217,046		1,197,852		917,532
Assets Subject to Financial Leasing	323,522		297,575		277,291		235,188
Investments in other companies	77,986		75,430		57,791		54,438
Other assets	924,619		1,009,079		1,056,542		1,162,772

TOTAL ASSETS	22,022,999		21,137,678		19,802,684		18,834,629


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

Deposits	15,009,758		14,340,015		13,328,050		12,505,756
Other banking liabilities	1,750,021		1,687,437		1,498,466		1,484,007
Other liabilities	2,970,365		2,818,891		2,728,554		2,673,805
Minority interest	236,018		231,297		231,646		216,477

TOTAL LIABILITIES	19,966,162		19,077,640		17,786,716		16,880,045



TOTAL STOCKHOLDERS’ EQUITY	2,056,837		2,060,038		2,015,968		1,954,584



STOCKHOLDERS’ EQUITY + LIABILITIES	22,022,999		21,137,678		19,802,684		18,834,629


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

Net Financial Income	330,761		239,495		268,486		438,253
Provision for loan losses	(25,221	)	(13,605	)	(13,810	)	(17,514	)
Net Income from Services	268,931		266,981		241,967		214,433
Administrative expenses	(339,996	)	(282,534	)	(259,908	)	(262,016	)
Net Other Income	(210,260	)	(118,430	)	(143,000	)	(252,587	)

Income Before Tax	24,215		91,907		93,735		120,569

Income Tax	(8,936	)	(19,149	)	(6,420	)	(52,360	)

Net income	15,279		72,758		87,315		68,209

Minoritary Interest	(4,721	)	349		(4,371	)	(20,162	)

Net income for Quarter	10,558		73,107		82,944		48,047

- 19 -

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 13, 2008

/s/ Martín E. Zarich

Martín E. Zarich

Chief Financial Officer