More than $3 trillion of DRs traded globally this year, up 72% over 2006

NEW YORK, December 19, 2007 — Record levels of liquidity, outstanding value, capital raising, and price performance highlighted activity in the American and global depositary receipt (DR) markets in 2007, according to The Bank of New York Mellon's (NYSE: BK) annual year-end report on the DR industry.

"Depositary receipts grew as a critical asset class and surpassed a number of major milestones in 2007," said Christopher Sturdy, executive vice president and head of The Bank of New York Mellon's Depositary Receipt Division. "Exceptional activity from DR investors and issuers occurred in every region of the world this past year. In particular, we witnessed impressive growth in emerging markets, especially from the 'BRIC' countries of Brazil, Russia, India and China."

Statistics used in the report are projected through year-end using actual statistics as of December 14, 2007 unless noted.

  Highlights of the report include:
  -- DR liquidity levels topped the record 2006 mark.  Nearly $3.3 trillion
     of DRs traded on U.S. and non-U.S. markets and exchanges during 2007,
     an increase of 72% year-over-year.
  -- DR outstanding value grew more than $200 billion to a record $1.5
     trillion as of September 30, 2007, an increase of 15% year-over-year as
     investors selected from more than 2,050 sponsored DR programs from 76
     countries.
  -- DR capital raisings increased 25% year-over-year as issuers from 26
     countries completed 135 initial public offerings (IPOs) and follow-on
     offerings, raising a record $50.5 billion.
  -- DR prices rose nearly 13% year-to-date as of December 14, 2007, as
     tracked by The Bank of New York's Composite ADR Index.  The ADR Index
     is on track to outperform most major U.S. domestic indices for sixth
     consecutive year.
  -- DR issuers from BRIC countries were dominant and accounted for 48% of
     projected DR trading value, 26% of DR outstanding value, 63% of DR
     capital raisings and 74% of new DR stock exchange listings.

The full results of The Bank of New York Mellon's year-end industry report follow:

DR Liquidity Surges to Record Levels

The year's overall DR trading value reached an all-time high, growing a projected 72% year-over-year to nearly $3.3 trillion. The major U.S. stock exchanges - the New York Stock Exchange (NYSE), NASDAQ and the American Stock Exchange (Amex) - remained the largest markets for DR trading. The industry

report projected a record 75 billion DRs valued at $2.8 trillion traded on the U.S.-listed markets during 2007. European-listed DR trading value also grew strongly. Based on data provided by The London Stock Exchange (LSE), the report projected $387 billion of DRs traded on the International Order Book (IOB), the primary trading platform for both Luxembourg Stock Exchange (LuxSE) and LSE-listed DRs. Other trading, primarily DRs traded over-the-counter (OTC) and on PORTAL, comprised an estimated $110 billion in value.

DR Outstanding Values Increase as Existing Programs Grow and New Programs Come to Market

During 2007, 150 new DR programs from issuers located in 33 countries were established. The figures reflect an increase of 11 programs from last year's statistics. Of 2007's new DR programs, 83 were listed on stock exchanges; 35 on U.S. stock exchanges and 48 on European/Asian stock exchanges. The remaining DR programs trade on various OTC markets, including Pink Sheets' new OTCQX market. Overall, investors selected from more than 2,050 sponsored DR programs from 76 countries at the close of 2007.

The report estimated(1) that the total value of DRs outstanding increased 15% year-over-year and exceeded $1.5 trillion at the end of the third quarter of 2007, an all-time high. Outstanding values of U.S.-listed DRs exceeded $1 trillion on September 30, 2007, an increase of 13% from the same time last year. Outstanding values of European-listed DRs were estimated to be $270 billion and outstanding values of OTC-traded and other DRs were estimated to be $192 billion.

U.S. investors remained the most significant purchasers of DRs. The total value of U.S. investment in non-U.S. equities (both DRs and non-U.S. shares) increased more than $1 trillion to $4.9 trillion as of September 30, 2007, an increase of 29% from the same time last year and a record high, according to the latest U.S. Federal Reserve statistics. The $1 trillion increase in investment level consisted of a $907 billion increase in asset values and record net positive capital inflows of $193 billion. Overall, non-U.S. equities accounted for a record 21.8% of all equity investment in the U.S., up from 18.3% at the same time last year.

DR Capital Raisings Grow to a New Record

DR capital raising statistics reached new highs in 2007. Issuers from 26 countries completed 135 new initial and follow-on DR offerings and raised $50.5 billion in 2007 - more than 12% higher than 2006's totals of $44.5 billion in 129 new DR offerings. DR capital raising transactions during 2007 were dominated by issuers from the BRIC countries. Together these issuers raised $32 billion in 82 transactions, 63% of global DR capital raised. The remaining offerings were completed by issuers in 21 countries, all but three emerging markets.

ADR Index Closes Near its All-Time High and Outperforms U.S. and International Indices

Overall DR performance, as tracked by The Bank of New York's ADR Composite Index™, posted strong returns during 2007. On December 14, 2007, the Index closed at 188.56, up 12.8% year-to-date, near its all-time high. All three of its regional sub-indices, all 15 of its market, sector and select sub-indices and 29 of 36 country indices were higher in 2007. The most impressive regional and sector results were returned by the Latin America ADR Index, up 50.3%, and the European Telecom ADR Index, up 28.6%. The BRIC ADR Index also outperformed, returning 63.4%.

The Bank of New York's Composite ADR Index outperformed the major U.S. domestic and international market indices. As of December 14, 2007, the Dow Jones Industrial Average was up 7% for the year on a price basis while the broader Standard & Poor's 500 Index gained 3.5%. Internationally, the broadly-followed MSCI EAFE Index was up 8.1% and the MSCI Emerging Markets Index was up 34.2%.

At the year-end mark, the Composite ADR Index is projected to have approximately 380 constituents and a free float market capitalization, as defined by Dow Jones & Company, of $7 trillion. The Bank of New York ADR Index is the only real-time index to track all DRs, New York Shares and global registered shares traded on the NYSE, Amex and NASDAQ.

  Index Name                                            Close         Change
  The Bank of New York Composite ADR Index              188.6          12.8%
  The Bank of New York Latin America ADR Index          418.5          50.3%
  The Bank of New York Europe ADR Index                 188.7          12.4%
  The Bank of New York Asia ADR Index                   166.1           4.9%
  The Bank of New York Emerging Markets ADR Index       370.1          38.0%
  The Bank of New York Developed Markets ADR Index      141.5          8.7%


  Regional Review: Emerging Market Issuers Remain Dominant

  Asia-Pacific

Trading of U.S.-listed DRs from the Asia-Pacific region was projected at $956 billion, growing a remarkable 156% over the year. The year's most actively traded DR belonged to China's Baidu.com, which traded more than $227 billion as of December 14, 2007, and became the first DR to ever trade more than $200 billion in one year. China's China Mobile and PetroChina, along with Australia's BHP Billiton and Taiwan Semiconductor Manufacturing were also among the region's most actively traded DRs. Japan's Sumitomo Mitsui Financial and Nintendo were the region's most active OTC-traded DRs. The region's largest DR program as measured by value was Korea's POSCO, with more than $12 billion in DRs outstanding.

The region's issuers established 70 new programs and were responsible for nearly half of DR capital raised globally. In total, 71 transactions from the region's issuers raised $19.9 billion during 2007. Significant DR IPOs included China's Xinhua Finance Media, JA Solar, Simcere Pharmaceutical, Agria and Noah Education. Issuers from China were responsible for two-thirds of new U.S. stock exchange listings in 2007. Significant follow-on DR offerings included Taiwan Semiconductor Manufacturing, India's ICICI Bank and Sterlite Industries and China's CTrip.com International.

The Bank of New York Asia ADR Index was hurt by underperforming markets in Japan and Taiwan and returned only 4.9% for the year. However, the China ADR Index returned 59% year-to-date and many of its constituents dominated the region's and the world's price performance. China Finance Online returned more than 380% year-to-date and was the Composite ADR Index's best performing constituent. China Eastern Airlines and Baidu.com also outperformed and returned more than 250% for the year.

Emerging Europe, Middle East and Africa (EEMEA)

The EEMEA region's U.S.- and international-listed DR trading value was projected at more than $510 billion during 2007, a 46% increase from 2006. Russia's Gazprom was the region's most active DR, trading more than $113 billion during the year. Russia's Lukoil, Norilsk Nickel, Vimpel Communications and Mobile TeleSystems were also among the region's most active DRs. In other countries, Israel's Teva Pharmaceuticals, as well as South Africa's Gold Fields, AngloGold Ashanti and Harmony Gold Mining were among the most actively traded DRs in the region. The region's largest issuers as measured by DR outstanding value included Russia's Lukoil and Gazprom as well as Israel's Teva Pharmaceuticals.

Issuers in the EEMEA region established 40 new DR programs and completed 34 new DR capital raising transactions valued at $19.3 billion. A highlight was the May IPO of Russia's VTB Bank which raised nearly $8.8 billion in total and $5.2 billion with its LSE-listed DR tranche. VTB was the second largest DR offering of all time and was also notable because it had the distinction of being the 2000th sponsored DR program available to investors. Other significant IPOs with DRs were completed by Russia's AFI Development, Uralkali, and Magnitogorsk Iron & Steel Works as well as Kazakhstan's Alliance Bank and Kazakhstan Kagazy. The follow-on offering of South Africa's AngloGold Ashanti raised more than $1.5 billion in DRs.

The EEMEA region contained the world's two best performing Country ADR Indices. The Turkey ADR Index and the Russia ADR Index were the only Country ADR Indices to return more than 100% during the year. Among the region's ADR Index constituents, Russia's Mechel Steel and Vimpel Communications along with Turkey's Turkcell returned more than 100%.

Latin America

Trading of U.S.-listed DRs from Latin America was projected to total $748 billion, growing 86% over the year as the region's issuers continued their strong growth in liquidity and assets outstanding. Brazil's CVRD (common and preferred shares) and Petrobras (common and preferred shares) each traded over $120 billion during the year and were the region's most active DR issuers. Mexico's America Movil and Grupo Televisa as well as Argentina's Tenaris were also among the region's most active programs. The region's largest DR program as measured by value was America Movil, with more than $48 billion worth of DRs outstanding.

Latin American issuers established 27 new DR programs and completed 23 DR capital raising transactions raising more than $4 billion, all records for the region. Of note were the NYSE-listed IPOs by Mexico's Maxcom Telecomunicaciones and Argentina's Edenor. IPOs using 144A DRs remained popular in the region and were successfully completed by Brazil's Anhanguera Educacional, Agra Empreendimentos, Camargo Correa, Redecard, Triunfo, Tecnisa and JHSF as well as Argentina's Banco Patagonia and Chile's Socovesa. U.S.- listed follow-on offerings by Brazil's Embrarer and Gafisa as well as Colombia's Bancolombia were also successfully completed.

For the fifth consecutive year Latin America finished as the best performing DR region, as The Bank of New York Latin America ADR Index returned more than 50%. The Bank of New York Brazil ADR Index rose 77% and many of its constituents were top performers globally. Brazil's CSN, CVRD, and Petrobras all returned more than 100% during the year. In other countries, Peru's Compania de Minas Buenaventura and Mexico's Empresas ICA also posted strong returns.

Western Europe

Trading of U.S. listed DRs from Western Europe was projected to total $896 billion, growing 51% over the year. France's TOTAL and Alcatel-Lucent, the U.K.'s BP and Rio Tinto, Finland's Nokia and Luxembourg's ArcelorMittal all traded more than $30 billion in DRs during the year. Switzerland's Nestlé and Roche Holding as well as France's Societe Generale were among the most actively DRs on the OTC market. The U.K.'s BP remained the world's largest DR program as measured by assets, with $65 billion in DRs outstanding. Other issuers with more than $20 billion in DR outstanding value included the U.K.'s Royal Dutch Shell, Vodafone and GlaxoSmithKline.

Western European issuers established 13 new DR programs and completed seven new capital raising transactions valued at nearly $7 billion. The region's most prominent new programs included the NYSE listing of Royal Bank of Scotland's ordinary share DRs and the new OTC-traded DRs by Italy's Lottomatica. Among the region's DR capital raising transactions, three U.K. banking sector issuers, Barclays Bank, Royal Bank of Scotland and HBOS, completed five transactions and raised nearly $6 billion using DRs in preferred share transactions. Globally, 37 issuers, mostly from Western Europe, de-listed their DRs from the NYSE or NASDAQ. Most, including Germany's BASF, the U.K.'s British Airways, and Switzerland's Bayer kept OTC- traded DR programs available for their investors.

Merger and acquisition activity was strong in Western Europe in 2007.

Significant corporate actions to incorporate DRs included BBVA's acquisition of Compass Bancshares (Spain/U.S.), Geophysique's acquisition of Veritas DGC to create CGGVeritas (France/U.S.) and Statoil's merger with the oil business of Norsk Hydro to create StatoilHydro (Norway/Norway).

The Bank of New York Europe ADR Index returned 12% year-to-date. The region's top performing markets were Denmark and Greece, with both Country ADR Indices returning more than 35%. Germany's Aixtron and the Netherlands's CNH Global were the region's top performers, each returning more than 100%. Other notable returns were posted by Finland's Nokia and Luxembourg's ArcelorMittal.

The Bank of New York Mellon Solidifies its Industry Leadership

During 2007, The Bank of New York Mellon solidified its depositary leadership position across a broad range of metrics acting as depositary for 60% of all new and successor DR programs, 61% of all DR capital raising transactions and 47% of the year's DR trading value.

The company continues to attract experienced DR issuers. During 2007, issuers including Mexico's Televisa, Germany's Fresenius Medical Care, France's Rhodia, Taiwan's Fubon Financial and India's NEPC switched their DR programs to The Bank of New York Mellon from other depositary banks. Overall, 198 issuers have switched 228 DR programs to The Bank of New York Mellon from other depositary banks since 1990.

The Bank of New York Mellon's comprehensive industry report, The DR Market Review 2007, which recaps highlights of 2007's DR market and offers expert analysis and insight, will be available in February 2008.

The Bank of New York Mellon's Depositary Receipt business is conducted through The Bank of New York subsidiary, which acts as depositary for more than 1,300 American and global depositary receipt programs, acting in partnership with leading companies from 62 countries. With an unrivalled commitment to helping securities issuers succeed in the world's rapidly evolving financial markets, the Company delivers the industry's most comprehensive suite of integrated depositary receipt, corporate trust and stock transfer services. Additional information is available at http://www.adrbny.com/.

The Bank of New York Mellon Corporation (NYSE: BK) is a global financial services company focused on helping clients manage and service their financial assets, operating in 34 countries and serving more than 100 markets. The company is a leading provider of financial services for institutions, corporations and high-net-worth individuals, providing superior asset management and wealth management, asset servicing, issuer services, clearing services and treasury services through a worldwide client-focused team. It has more than $20 trillion in assets under custody and administration, more than $1.1 trillion in assets under management and services $11 trillion in outstanding debt. Additional information is available at bnymellon.com.

  (1) Research Approach: The total value of investment in DRs is derived by
  multiplying DRs outstanding by DR price.  All DR price figures are
  publicly available from the applicable stock exchange or trading market.
  The number of DRs outstanding for The Bank of New York Mellon sponsored DR
  programs was derived from internal reporting sources.  The number of DRs
  outstanding from non-Bank of New York Mellon sponsored U.S.-listed issues
  was derived from publicly available figures provided by the NYSE and
  NASDAQ.  DRs outstanding figures for European-listed and OTC-traded issues
  that are not serviced by The Bank of New York Mellon were estimated using
  publicly available information including, but not limited to, company
  reports and SEC 13-F shareholder data.

Note: New sponsored DR statistics count bifurcated GDRs (i.e. those with a 144A and a Regulation S tranche) as one new program and exclude successor DR programs.

This information and data is provided for general informational purposes only. The Bank of New York Mellon does not warrant or guarantee the accuracy or completeness of, nor undertake to update or amend this information or data. We provide no advice nor recommendation or endorsement with respect to any company or securities. Nothing herein shall be deemed to constitute an offer to sell or a solicitation of an offer to buy securities.

  Depositary Receipts:
  NOT FDIC, STATE OR FEDERAL AGENCY INSURED
  MAY LOSE VALUE
  NO BANK, STATE OR FEDERAL AGENCY GUARANTEE