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1ANNUAL REPORT 2005 �� !!"

2 Financial Highlights �� !

4 Governing Bodies �� !

6 Chairman’s Message �� !

10 BCM’s Profile �� !"#$%

12 Operating Environment Overview �� !"#

14 Risk Management and Operational Control Overview�� !"#$%&'(

16 2005 Balance Sheet Review �� !"#$%&'(

19 2005 Income Statement Review �� !"#$%&

22 2006 Outlook and Strategy �� !"#$%&

24 Proposal for Appropriation of 2005 Net Income�� !"#$%

25 Main Accounting Policies �� !"#

28 Report and Opinion of the Statutory Board of Auditors�� !"#$%

29 External Auditors’ Report �� !"#$

31 Statutory Financial Statements �� !"#

40 Financial Statements �� !

41 Financial Statements �� !"#$%&'()*+,

42 Principal Shareholders �� !

43 Human Resources �� !"#

44 Management �� !"#

45 Branch Network �� !

46 Main Events in 2005 �� !"#$%

48 Macau in Figures �� !"#$%

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Contents

Cover photo provided by Macao Government Information Bureau�� !"#$%&'()(*+,-./

2 Banco Comercial De Macau �� !"#

(Expressed in thousands of MOP �� !")

2005/2004 2005 2004 2003BALANCE SHEET AT YEAR END (SELECTED DATA) Variation (Restated ��)

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Total net assets �� !" 10.8% 8,625,190 7,781,003 6,836,827

Placements with banks and �� !"#$

other financial institutions �� !"#$% 16.5% 3,883,246 3,333,720 3,503,520

Cash and other liquid assets �� !"#$%& (10.3%) 262,514 292,545 233,897

Investment securities �� ! (16.1%) 318,319 379,474 271,786

Loans and advances to customers (gross) �� !"#�� ! 11.7% 3,971,638 3,557,026 2,643,091

Other assets �� ! (12.4%) 204,056 233,061 200,453

Amounts due to credit institutions �� !"#$% (52.1%) 8,038 16,787 12,690

Deposits from customers �� ! 12.2% 7,930,421 7,065,351 6,189,797

Other liabilities �� ! (39.3%) 75,329 124,130 29,277

Individual impairment/Specific provisions �� ! /�� !" (1.6%) 14,583 14,823 15,920

Collective impairment/General provisions �� ! /�� !" 8.8% 48,547 44,609 44,258

Shareholders' funds �� ! 6.2% 562,855 530,126 560,805

INCOME STATEMENT FOR THE YEAR �� !"#$%

Interest and similar income �� ! 72.4% 334,933 194,320 186,734

Interest and similar expense �� ! 161.2% (164,147) (62,851) (52,090)

Net interest income �� !" 29.9% 170,786 131,469 134,644

Non-interest income �� !" (1.6%) 66,418 67,471 52,963

Non-interest expense �� !" 1.6% (116,871) (115,075) (110,840)

Amortization and depreciation of fixed assets �� !"#$% (1.2%) (13,103) (13,266) (11,896)

Provisions for loan impairment �� !"#$

(net of recoveries) �� !"#$% (30.5%) (6,931) (9,976) (9,054)

Provision for income tax �� !" - (10,561) (500) (2,366)

Net income (after tax) �� ! 49.3% 89,738 60,123 53,451

Financial Highlights�� !(Based on Macau Accounting Rules �� !"#$%#&)


(A) Difference between the yield on interest earning assets and the average cost of interest bearing liabilities�� !"#�$%&'()*+ +,#-.%&'()%/012

(B) Net interest income as a percentage of average interest earning assets (Net interest income / Average interest earning assets)�� !"#$%&'(!)*�� !"# / �� !"#$

(C) Non-interest expense + Amortization and depreciation of fixed assets as a percentage of net interest income plus non-interest income(Non-interest expense + Amortization and depreciation) / (Net interest income + Non-interest income)�� !"#$%&'()*+,-./012� 34#$�� 34�� !"# +�� !"/�� !"# + �� !"#

(D) On a pro-forma basis, considering profit for the year minus dividends payable to shareholders as own funds�� !"#$%&'(')*+,�-./+0

(E) Impaired loans as a percentage of total gross loans and advances to customers�� !"#$% !&'!()*+,-

2005 2004 2003OTHER INDICATORS (* = at year-end, otherwise: average) (Restated ��)

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Interest rate spread (A) �� ! (A) 1.90% 1.82% 1.86%

Net interest margin (B) �� !" (B) 2.01% 1.94% 1.90%

Return on average assets (ROA) �� !"#$�ROA� 1.1% 0.8% 0.8%

Return on average equity (ROE) �� !"#$%& �ROE� 16.4% 11.0% 9.9%

Loan-to-deposit ratio * �� /�� ! * 50.1% 50.3% 42.7%

Cost-to-income ratio (C) �� /�� ! (C) 54.8% 64.5% 65.4%

Regulatory capital adequacy ratio * �� !"#$% * 11.6% 12.0% 16.9%

Capital adequacy ratioon a pro-forma basis * (D) �� !"#$% * (D) 13.4% 12.1% 17.2%

Regulatory liquidity ratio * �� !"#$% * 56.7% 57.6% 66.8%

Impaired loans/Total loans and �� ! /�� !"advances to customers * (E) �� !"# * (E) 0.9% 1.2% 1.9%

Number of employees * �� ! * 271 268 276

Number of branches * �� ! * 16 16 17

Number of ATM's * �� !"#$ * 24 24 25

Dividend paid per share (gross of tax) �� ! 0.00 63.34 47.51

Dividend pay out ratio �� !"# 0.0% 90.0% 80.0%


Governing Bodies�� !

GENERAL MEETING OF SHAREHOLDERS �� !

Chairman ��

Leonel Alberto Alves ��

Secretary ��

Liu Chak Wan ��

Ma Iao Lai ��

BOARD OF DIRECTORS ��

Chairman ��

David Shou-Yeh Wong ��

Appointed on 19/12/2005 �� !"#�$#%&'()

Member ��

Hon-Hing Wong (Derek Wong) ��

Appointed on 19/12/2005 �� !"#�$#%&��

Gary Pak-Ling Wang ��

Appointed on 19/12/2005 �� !"#�$#%&��

Harold Tsu-Hing Wong ��

Appointed on 19/12/2005 �� !"#�$#%&��

Lung-Man Chiu (John Chiu) ��

Appointed on 19/12/2005 �� !"#�$#%&��

Leonel Leonardo Guerreiro da Costa ��

Kenneth Chan Sou Chao ��

Chairman ��

Jorge Manuel Jardim Gonçalves Jorge Manuel Jardim GonçalvesResigned on 17/05/2005 �� !"!#$%&'(

Paulo Jorge de Assunção Rodrigues Teixeira Pinto Paulo Jorge de Assunção Rodrigues Teixeira PintoAppointed on 17/05/2005; Resigned on 19/12/2005 �� !"!#$%&�� !"##$%&"'&()*�


Member ��

Christopher de Beck Christopher de BeckResigned on 17/05/2005 �� !"!#$%&'(

António Manuel Pereira Caldas de Castro Henriques António Manuel Pereira Caldas de Castro HenriquesResigned on 01/03/2005; Appointed on 17/05/2005; �� !"#$%&'() �� !"!#$%&'()*Resigned on 19/12/2005 �� !"#�$#%&'(

Boguslaw Jerzy Kott Boguslaw Jerzy KottAppointed on 01/03/2005; Resigned on 19/12/2005 �� !"#$%&�� !"#�$#%&'(

Manuel d'Almeida Marecos Duarte Manuel d'Almeida Marecos DuarteResigned on 17/05/2005 �� !"!#$%&'(

António Maria Matos ��

Resigned on 19/12/2005 �� !"#�$#%&'(

José Laurindo Reino da Costa José Laurindo Reino da CostaAppointed on 17/05/2005; Resigned on 19/12/2005 �� !"!#$%&'()*�� !"$�#$+&,)

EXECUTIVE COMMITTEE �� !"

Chief Executive Officer �� !

Lung-Man Chiu (John Chiu) ��

Member ��

Hon-Hing Wong (Derek Wong) ��

Gary Pak-Ling Wang ��

Harold Tsu-Hing Wong ��

Nicholas John Mayhew ��

Leonel Leonardo Guerreiro da Costa ��

Kenneth Chan Sou Chao ��

SUPERVISORY BOARD ��

Chairman ��

Pedro João Reis de Matos Silva Pedro João Reis de Matos Silva

Member ��

José Rodrigues de Jesus José Rodrigues de Jesus

Fernando Manuel da Conceição Reisinho Fernando Manuel da Conceição Reisinho


Dear Shareholder,

I am pleased to be writing this report as Chairman of BCM for the

first time since its acquisition by the Dah Sing Financial Group in

December 2005.

We believe that the change of ownership of BCM is beneficial for both

the customers and staff of BCM. BCM is now an important part of the

Dah Sing Financial Group’s expansion strategy, building on the growing

economic integration between Macau, Hong Kong and the Pearl River

Delta Region. Against this background, I believe that the future of BCM

is very bright, and that BCM will

continue to prosper in the years to

come.

The Dah Sing Financial Group, as a

Hong Kong based organisation,

understands the Pearl River Delta

Region well, and is committed to

giving its full support to further the

development of BCM, to promote its

growth and to strive to provide a

broader range of products and

services, together with a high level of

service quality, to its customers.

Chairman’s Message

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The Banco Comercial de Macau, S.A.headquarters building is located in the centralbusiness district of Macau.

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BCM has performed strongly in 2005, reporting record profits for the

year of just under MOP90 million. We have retained a stable

management team and staff under our new Chief Executive, Mr. John

Chiu, whose mission is to expand the business activities of BCM in the

growing economy of the Pearl River Delta Region. This stable team,

coupled with close communication between BCM and Dah Sing, is,

we believe, an important factor in the results not only in 2005, but

also for the future.

The transformation of the economy in Macau continued in 2005. A

number of substantial investment initiatives were launched, furthering

the expansion of Macau’s service sector, in retail, commercial and

entertainment businesses.

GDP in Macau for the year grew by 6.7%, which although much

lower than the exceptionally high growth rate reported in 2004, still

represents solid growth. Also, the bouyant tourist market was reflected

in visitor arrivals, which reached a record level of 18.7 million visitors

during 2005.

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�� !"#$%&�� !�� !"#$%&�� !�� !Mr. António Modesto�� !�

Management of BCM: Mr. John L.M.Chiu, Chief Executive Officer (third from the right), Mr. Leonel da Costa,Executive Director (third from the left), Mr. Kenneth C.S. Chan, Executive Director (second from the right),Mr. P.K. Ang, General Manager (first from the left), Mr. Álvaro Caixeiro, General Manager (second from theleft), and Mr. António Modesto, General Manager (first from the right).


�� !"#$%(�� a�� ) �� !"#$%&'()*+,-./01Mr. Peter Birch (�� a - ��) �� !"#$%&'()*+ Dr. Cristopher de Beck (�� a�� ) �� !"#$%&'()*+�� !"#$%&'()*+,,-./ Mr. António Matos�� !"#$ Mr. António Castro Henriques(�� b�� !"#$"%) �� !"#$%"&'()*+, (�� b�� ; �� c�� !"#)�� !"#$%&'()*"#$%+,-./0123456 !"#$%789:;<=>?@&AB

�� !"# Mr. António Castro Henriques (�� c�� !"#$%&'()) �� !"#$%&'()�� !

Following the opening remarks made by Mr. David S.Y. Wong, Chairman (photo a – second from left),

accompanied by our independent non-executive director, Mr. Peter Birch (photo a – first from left), in the

presence of Dr. Cristopher de Beck, the Vice Chairman of Banco Comercial Português (“BCP”) (photo a – first

from right), and other BCP members in Lisbon, observed through video conferencing by Mr. António Matos,

former Chief Executive Officer of Banco Comercial de Macau (“BCM”), and Mr. António Castro Henriques of

BCP (photo b – first and second from left respectively) together with Mr. Harold Wong, Executive Director of

Dah Sing Banking Group (“DSBG”) (photo b – first from right; also photo c – front row sitting first from left) and

other members of DSBG/BCM group attending the ceremony, the sale and purchase agreement of BCM was

signed by Mr. Derek Wong, Managing Director of DSBG, and Mr. António Castro Henriques of BCP (photo c

– front row sitting second from left and first from right respectively) in Hong Kong.

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Against this economic background, BCM reported good results for

the year. Total assets of the Bank grew 11% as compared to 2004

(year-end), driven by the two core interest-earning segments:

placements with banks and other financial institutions (+ 17%) and

loans and advances to customers (+12%).

Customer deposits, BCM’s key source of funds, reached MOP 7,931

million at the end of 2005, up MOP 866 million, or 12%, from

December 31, 2004.

An increase of around MOP 40 million (or 20%) in operating income

in 2005 as compared to 2004, led by net interest income, coupled

with an overall cost control discipline and improved asset quality,

generated a net income of MOP 89.7 million, up from MOP 60.1

million (+49%) a year earlier.

The strong performance of the business in 2005, the stable

management team and staff, and the support of our new parent, the

Dah Sing Financial Group, together with the expected further expansion

of Macau’s economy provide us with a firm foundation on which to

build our business. Rest assured that we will continue with our efforts

to ensure that BCM is your financial services provider of choice in the

Macau market.

Finally, I wish to thank the Macau SAR authorities, the former members

of BCM’s governing bodies, who resigned as a consequence of the

new shareholding structure, our customers and the employees of the

Bank, for their invaluable support during the course of the year.

David Shou-Yeh Wong

Chairman

Macau, 30 March 2006


Established in 1974, BCM bank (or BCM) is one of the principal financial

institutions incorporated in the Macau Special Administrative Region

(Macao SAR) of People’s Republic of China (PRC), with total assets of

MOP 8.6 billion (approximately USD 1.1 billion) and 271 employees

at the end of 2005.

BCM bank has a history of providing quality services to its local

customers and contributing to the development of Macau’s economy,

by financially supporting its structural, business and community initiatives,

and being involved in trade financing, one of its most competitive

capabilities.

The Bank provides a wide variety of high quality banking and financial

products and services to individuals, companies and other institutional

clients, through its local network of 16 branches and other distribution

channels, comprising ATM machines, a modern call centre and internet

banking.

BCM’s Profile

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BCM has become a member of Dah Sing Banking Group on 19

December 2005 following its acquisition by Dah Sing Bank from

Portuguese Banco Comercial Português, S. A. (BCP). The Dah Sing

Banking Group is a well-established and renowned financial group in

Hong Kong focusing on banking businesses.

The Bank is also part of a joint cross-selling group strategy with its

insurance affiliated companies in Macau, Companhia de Seguros de

Macau, S. A. and Companhia de Seguros de Macau Vida, S. A., aiming

at building comprehensive relationships with customers, by offering

innovative, integrated and complementary financial solutions. This

bancassurance model is expected to produce added synergy benefits.

We are focused on being a trustworthy, positive and socially concerned

institution, driven by sound values and commitments, as well as on

developing a modern infrastructure towards improved competence,

high customer satisfaction and sustained shareholder return.

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On 19 December 2005 BCM has become

a member of Dah Sing Banking Group,

a well-established and renowned

financial group in Hong Kong.

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Although at a moderate pace, the economy of Macau maintained its

strong momentum and kept growing in 2005. Investment in the

construction of new projects in the gaming industry, service exports

(tourism related) and a steady local private consumer spending

continued to be the main growth engines.

The huge influx of mainland tourists, benefiting from the individual

travelling facilitation scheme implemented by the Chinese authorities,

is also commonly referred as one of the main stimuli to the local

economic environment due to its direct and positive effects on local

retail trade.

On the other hand, merchandise exports declined, due to some extent

to the abolishment of the quota system, while imports continued to

grow aggressively in line with the overall dynamism of the economy.

Operating EnvironmentOverview

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The employment situation continued to improve, with the

unemployment rate falling to 4% (which is believed to be its structural

level) by the end of the year, and consumer prices rose by

approximately 5% due to the sustained growth of the economy and

the general increase in prices of imported goods.

The property market continued buoyant with prices and number of

transactions still trending upwardly, although slowing down in the last

part of the year, partly due to the steady increase of interest rates.

A dynamic and confident economic environment, favouring the

investment and consumption moods of both investors and consumers,

normally translates into a better operating environment for the financial

market.

It is estimated that deposits from and loans to residents in the local

banking system have gone up in 2005 by about 12% and 20%,

respectively, having a positive impact on banks’ results.

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The economy of Macau maintained

its strong momentum and kept

growing in 2005, thus benefiting

local financial system and having

a positive impact on banks’ results.

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The banking activity is particularly exposed to many types of risks with

potential adverse impact on profitability or reputation arising from

financial and operational risk including human misbehaviour and errors

and computer and telecommunications systems malfunctioning, and

environmental operating risks.

Risk management is becoming an increasingly multifaceted, vast and

demanding issue. Banks need to take into consideration in terms of

their business activities, risk appetite and infrastructure, and the need

to invest and upgrade their risk management and operational control

capabilities and processes, so as to obtain the best possible trade-off

between efficiency and cost.

Being a local medium-sized banking institution, operating in a not very

sophisticated financial market which could be affected by regional and

Risk Management andOperational Control Overview

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global factors and developments, BCM has been pursuing a relatively

cautious and low-risk strategy in growing its businesses.

Over the years, the Bank has implemented a number of risk control

processes that, in spite of their relative simplicity, coupled with, to a

large extent, a business defensive and cautious attitude, operated to

achieve sound risk control. These are augmented by a staff code of

conduct and a framework of internal policies encompassing the granting

of credit facilities and the control on other more risky operational areas,

such as treasury related (counterparts, market, liquidity, settlement,

etc.) as well as operational procedures, which subject to the regular

and on-going review and monitoring by the Internal Audit and

compliance Office functions.

In addition, the war on terrorism, the anti-money-laundering activities

and other new risk factors require a new risk control mentality and

processes to sustain the safety and soundness of the Bank. The support

and experience of Dah Sing Banking Group, and its emphasis on internal

control and sound risk management will be beneficial to BCM.

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Risk management is becoming a

multifaceted and vast issue,

demanding a new management

and staff mentality to sustain safety

and soundness.

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BCM expanded its business levels satisfactorily in 2005, as overall

conditions continued to be basically favourable: the economy remained

strong and the interest rates rose continuously.

Total assets grew 11% as compared to 2004 (year-end), driven by

the two core interest-earning segments: placements with banks and

other financial institutions (+ 17%) and loans and advances to

customers (+12%).

Residential property and mortgage lending trended up by 15% and,

while commercial/syndicated loans expanded by 11%, personal/

consumer loans declined slightly by 4.3% in spite of a strong household

demand in the economy.

Although its weighting in terms of the overall portfolio remains basically

subdued in view of the recent lack of dynamism of Macau exports,

trade financing activity continued to perform satisfactorily in 2005

(+30%).

2005 Balance Sheet Review�� !"#$%&'(

ASSETS �� (As at year-end, in millions of MOP �� !"#$%&'()*) Var. �� 2005 2004(Macau accounting rules �� !"#) (Restated ��)

Placements with banks �� ! 16.5% 3,883 3,334

Loans and advances to customers (gross) �� !"#$"�� ! 11.7% 3,972 3,557

Residential and mortgage lending �� ! 14.8% (1,061) (924)

Trade finance �� ! 30.2% (224) (172)

Commercial/Corporate lending * �� /�� ! * 10.7% (2,393) (2,161)

Personal/Consumer lending �� /�� !" -4.3% (178) (186)

Other loans �� ! 1.8% (116) (114)

Securities and other financial interests �� !"#$%& -12.7% 385 441

Other assets (net) �� !�� ! -14.3% 385 449

Total Assets �� 10.8% 8,625 7,781

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In structural terms, due to the Bank’s huge levels of liquidity, placements

with banks continue to represent almost half of total assets.

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Given the good momentum of the local economy, and despite the

upward trend of interest rates, the quality of BCM’s lending portfolio

improved satisfactorily in 2005. The overall delinquency ratio decreased

from 1.2% as at the end of 2004 to 0.9% as at end of 2005.

On the liabilities side, customer deposits, 99% of total external funds

and therefore a key source of funds, were MOP 7,931 million at the

end of 2005, up MOP 866 million, or 12%, from December 31,

2004.

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FUNDS �� (As at year-end, in millions of MOP �� !"#$%&'()*) Var. �� 2005 2004(Macau accounting rules �� !"#) (Restated ��)

Deposits from banks �� ! -52.9% 8 17

Customer deposits (on demand) �� !�� ! -6.6% 2,096 2,243

Customer deposits (time accounts) �� !�� ! 21.0% 5,835 4,822

Other liabilities/general provisions �� !"#$%&' -27.2% 123 169

Shareholders� funds �� ! 6.2% 563 530

Total funds �� 10.8% 8,625 7,781

FUND STRUCTURE 2005�� !"#$%

as at year-end��

ASSET STRUCTURE 2005�� !"#$%

as at year-end ��

Loans and advances to banks�� !"#!

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Securities��

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5%5%

45%

45%

Customer deposits (time account)�� !�� !

Customer deposits (on demand)�� !�� !

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7%1%

68%

24%

Non- or low interest-bearing deposits (current and savings accounts)

were down 7%, while time deposit accounts increased by 21%. This

trend reflected the steady and continued increase of interest rates during

2005, driving customers’ preference from liquidity to better yields.

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Shareholders’ funds grew 6% as a consequence of a higher profitability

in 2005, both in absolute and relative terms (see Income Statement

Performance).

Having grown faster than the capital base, risk-weighted assets

expansion in 2005, especially loans and advances to customers, caused

a slight reduction of the Bank’s capital adequacy ratio (CAR), from

12.0% in 2004 to 11.6% in 2005.

It should however be emphasised that current year profit is not included

in the calculation of CAR before it is audited. On a pro-forma basis

(current year profit included in own funds, as dividends will not be

paid to reinforce the Bank’s capital base), BCM’s 2005 year-end CAR

would amount to 13.4%.

The Bank has been enjoying high levels of liquidity both in financial and

regulatory terms. The liquidity ratio as at 2005 year-end was 56.7%

(minimum required: 30%), slightly down from 57.6% in 2004.

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2005 Income Statement Review

BCM recorded a satisfactory level of net profit in 2005 (MOP 89.7

million against restated MOP 60.1 million in 2004, or up 49%), due

to strong revenue growth on the back of the overall improved operating

environment.

Net interest income was the main driving force behind this

performance, having increased 30% as a result of higher interest bearing

business volumes, coupled with a continuously upward trend of interest

rates during the year, and the fact that the Bank relies mostly on

customers for funding, a cheaper and key source of funds.

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The overall interest rate spread went up 8 basis points, from 1.82% in

2004 to 1.90% in 2005, while the net interest margin improved 7

basis points (from 1.94% in 2004 to 2.01% in 2005).

Non-interest income, especially fees and commissions, also expanded

satisfactorily (+ 19%), reflecting once again the favourable economic

conditions and the expansion of the Bank’s activity, related in particular

to trade finance and commercial lending.

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OPERATING INCOME �� ! (in thousands of MOP �� !"#$%) Var. �� 2005 2004(Macau accounting rules �� !"#) (Restated ��)

Net interest income �� !" 29.9% 170,786 131,469

Net fees and commission income �� !"#�$ 19.0% 31,825 26,750

Net trading income �� !" 0.8% 12,895 12,787

Dividend income �� ! -6.6% 6,231 6,674

Other operating income �� !"#

(incl. net ext. income) �� !"#$%& -27.2% 12,185 16,742

Total operating income �� !" 20.3% 233,922 194,423


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The chart below shows, however, how BCM’s revenues still depend

on interest related activities, urging on a strategy of fee-based services

increment and diversification.

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It is however worth mentioning, on the expenses side, the overall

level of cost containment discipline achieved in a context of growing

price inflation in the economy, a slight decrease of 0.1% comparing

2005 to 2004.

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As a consequence of the improvement in the overall asset quality,

allowance for loan impairment also declined, thus contributing to

BCM’s satisfactory performance in terms of costs in 2005.

Salary and other staff benefits increased by 4%, mostly as a result of

the accommodation in 2005 of variable remuneration (annual bonus)

of two years – 2004 (MOP 3.1 million) and 2005 (MOP 4.7 million) –

determined by a changing in the accounting policy thereon.

Nevertheless, staff expenses are still structurally high in relative terms,

accounting for 56% of total costs (see chart below), urging for a further

increase of the overall Bank’s activity and productivity improvement.

OPERATING EXPENSES �� ! (in thousands of MOP �� !"#$%) Var. �� 2005 2004(Macau accounting rules �� !"#) (Restated ��)

Salaries and other employee benefits �� !"#$%& 4.4% 74,659 71,518

Other administrative expenses �� !"# -0.8% 36,047 36,324

Amortization and depreciation �� ! -1.2% 13,103 13,266

Provisions for loan impairment (net) �� !"#�� ! -30.5% 6,931 9,976

Other operating expenses �� !"# 6.1% 2,883 2,716

Total operating expenses �� !" -0.1% 133,623 133,800

INCOME STRUCTURE 2005�� !"#$% Net interest income

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As a consequence of the overall cost performance and the above

mentioned revenue increase, the cost-to-income ratio was impressively

reduced from 64.5% in 2004 to 54.8% in 2005.

An improvement of around MOP 40 million (or 20%) in operating

income in 2005 as compared to 2004, coupled with the above-

mentioned overall cost contention approach, generated a net income

of MOP 89.7 million, up from MOP 60.1 million (+49%) a year earlier.

NET INCOME �� (in thousands of MOP �� !"#$%) Var. �� 2005 2004(Macau accounting rules �� !"#) (Restated ��)

Operating income (+) �� !�+� 20.3% 233,922 194,422

Operating expenses (-) �� !�-� -0.1% 133,623 133,800

Provision for income tax (-) * �� !"�-�* - 10,561 500

Net income for the year �� ! 49.3% 89,738 60,123

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EXPENSE STRUCTURE 2005�� !"#$% Salaries and other employee benefits

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27%

5%

56%

10%

2%

Consequently, return on average shareholders’ equity (ROE) improved

to 16.4%, compared with 11.0% in 2004, and return on average

assets went also up, to 1.1%, from 0.8% in 2004.

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BCM envisages 2006 as another challenging year both in terms of

business and internally.

The fundamentals of the local economy are expected to maintain the

vigour as shown in recent years, with huge investments in the tourism/

gaming industry continuing to flow and further development/

sophistication of the property market, all in the context of a strong

labour market.

Influenced by international investors and investment practices, the

financial market of Macau is naturally poised to enter into an era of

modernization, thus creating conditions for banking products/services

development and diversification (wealth management, project finance,

syndications, insurance, etc.).

2006 Outlook and Strategy

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Although still trending up, interest rates will probably ease their

ascension, preventing the residential market from weakening in the

coming few years, hence maintaining its business potential.

On the internal front, 2006 will be the first year of BCM under the

direction of its new shareholder – the Dah Sing Bank. The local market

experience of BCM, together with the financial expertise and the

renowned commercial efficiency of Dah Sing Bank will surely result in

higher business opportunities and improved value for the Bank and its

affiliated insurers in Macau.

Based on the above-mentioned promising outlooks, the Bank set up

the following as its main focus for 2006:

• Continue to grow in loans to customers, deposits and profit;

• Continue to improve the capital adequacy ratio and cost-to-incomeratio;

• Restructure of key areas, such as risk control and informationsystems;

• Strengthen our focus on customer service and improved efficiency,thus increasing our ability to satisfy and retain clients.

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another challenging year.

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Proposal for Appropriationof 2005 Net Income

In accordance with the law and the Bank’s articles of association, the

following appropriation of 2005 net income is proposed:

NET INCOME FOR THE YEAR (MOP) 89,737,957.65

To:

Legal reserve * 8,973,795.77

Other reserve 80,764,161.88


* 10% in accordance with The Financial System Act of Macau (Article 60.2)

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Main Accounting Policies�� !"#

BASIS OF PREPARATION

The accounting methods used by the Bank are primarily based on

financial regulations in force in the Macau Special Administrative Region,

namely the Financial System Act of Macau, following the historical cost

convention. Therefore, the financial statements and other relevant

information presented in this Annual Report (unless otherwise indicated)

are in conformity with accounting principles accepted in Macau.

For a better understanding of the Bank’s accounts, some financial

statements are also presented following International Financial Reporting

Standards (IFRS) models.

RESTATEMENT OF 2004REPORTED ACCOUNTS

BCM’s investment in Companhia de Seguros de Macau, S. A. and,

indirectly, in Companhia de Seguros de Macau Vida, S. A., has been

accounted for using the Equity Method of Accounting, reflecting the

Bank’s appropriation of net assets of the former on a basis proportional

to its interests.

This accounting practice was changed in 2005 to the cost method

(investment carried at cost), and comparative 2004 figures were

restated accordingly to conform to current year’s presentation.

ASSETS AND LIABILITIESDENOMINATED IN FOREIGNCURRENCIES

Assets and liabilities denominated in foreign currencies are translated

into local currency (Macau Pataca or MOP) at the official exchange

rates prevailing at the final balance sheet date, as indicated by the

Monetary Authority of Macau (AMCM), with any differences recognized

in the income statement.

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INTEREST RECOGNITION

Interest on loans and other interest-earning assets and interest on

interest-bearing liabilities are recognized in the income statement on

an accrual basis, that is, in the financial period to which they actually

pertain, regardless of the date of receipt or payment.

Recognition of interest earned on loans overdue for more than

3 months only takes place when receipt actually occurs.

DIVIDEND INCOME

Dividend income is recognized when received.

OTHER REVENUES ANDEXPENSES

Other revenues and expenses are recognized when receivable or

payable except where related to continuing service or risk, in which

case are accounted for over the inherent period.

LOANS AND ADVANCES TOCUSTOMERS

Loans and advances to customers are reported in the balance sheet at

their principal amount outstanding.

Specific provisions, in respect of bad and doubtful loans (overdue for

more than 3 months, unless restructured) net of realisable collateral

values, are charged to the income statement and also stated in the

balance sheet as a deduction against the gross amount of total loans

and advances granted.

A general provision, created in addition to specific provisions with the

aim of covering possible unidentified losses inherent in granted loans

or other commitments, are determined in accordance with existing

regulations (a prefixed percent of the loan and other commitment

books), and are also charged to the income statement and identified

in the balance sheet.

Overdue outstanding loans are written off after all legal means available

being exhausted, with their eventual recovery recorded as

extraordinary income of the year in which it occurs.

INVESTMENT SECURITIES

Fixed income securities are stated in the balance sheet at cost, premiums

or discounts on par value arising on acquisition being amortised or

accrued over the period elapsed from the date of purchase to the

redemption date, and included as part of interest expense or income

respectively.

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SHAREHOLDINGPARTICIPATIONS

BCM’s investment in Companhia de Seguros de Macau, S. A. and,

indirectly, in Companhia de Seguros de Macau Vida, S. A., is stated at

cost (see ‘Restatement of 2004 Reported Accounts above’). Financial

interests in other entities are also stated at cost in the balance sheet.

FIXED ASSETS

Fixed assets are carried at cost net of accumulated depreciation

provided over their estimated useful lives (between 3 and 5 years,

except for premises: 50 years) and calculated on a straight-line basis at

annual rates determined by law. Gains and losses on disposal of fixed

assets are recorded in extraordinary results.

DERIVATIVE FINANCIALINSTRUMENTS

The Bank may use derivative financial instruments, such as interest

rate swaps, options and forward exchange contracts, tailor-made to

hedge its exposure to foreign exchange and interest rate risks arising

from operational, financing and investment activities.

Those instruments are accounted for off-balance sheet, with inherent

interest receivable or payable, as well as other gains or losses, reflected

in the income statement.

EMPLOYEE PENSIONS

The Bank participates in a contributory pension plan (BCM Pension

Plan) covering all staff, which is funded by its contributions, expensed

to the income statement as incurred, and the ones of its employees,

based on fixed percentages of participants’ basic gross salary. The plan

was established and is governed in accordance with SAR’s Decree-

Law 6/99/M of February 8.

TAXATION

2005 current taxation, charged to the income statement, was

determined at the rate of 12% prevailing in Macau. In 2004, the

majority part of tax on profits was paid by shareholders in respect of

dividends received, as allowed by law.

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Report and Opinionof the Statutory Boardof Auditors

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Pedro João Reis de Matos Silva�� !José Rodrigues de Jesus�� !"Fernando Manuel da Conceição Reisinho�� !"#$%&'( � 0186�

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To the Shareholders

In accordance with the legal and statutory requirements, the statutory Board ofAuditors of Banco Comercial de Macau, S. A. (“BCM”), hereafter presents thereport on its examinations and the opinion on the report and accounts, preparedby the Board of Directors, for the year ending 31 December 2005.

In performing his duties the Statutory Board of Auditors met the Board ofDirectors and the department heads of the bank, which always provide us withthe evidence and explanations which we requested.

The Statutory Board of Auditors has reviewed the performance of severaldepartments and could appreciate the increase of the business, such as inindividual customers and in corporate clients, as well as the continued effortsput into the technological and management modernization.

We have performed, as usually, examinations on the loans and advances aswell as physical cash counts. We have verified the banks’ official accountingbooks, the accounting records and the relevant support documentation. Wehave also carried out samples tests and other procedures with the extensionthat we believe it is necessary.

The Statutory Board of Auditors examined the reports prepared by the InternalAuditing Department of the bank and met with the External Auditors.

We have verified the External Auditors’s report and accounts as at 31 December2005, which shows an audit opinion without qualification.

The analysis made to the Board of Directors’ report and accounts enables usto express an opinion that such financial documents adequately reflect theoperations of Banco Comercial de Macau, S.A. as at 31 December 2005 andits financial situation at the year then ended.

As a matter of fact we would like to emphasize that the acquisition of BancoComercial de Macau, S.A. by the Dah Sing Bank, Limited (“DSB”) was justcompleted in December 2005. Under such circumstances the BCM becamea subsidiary of DSB.

In conclusion, we are therefore of the opinion that the report and accounts forthe year ending 31 December 2005, as well as, the proposal for appropriationof profits, prepared and submitted by the Banks’ Board of Directors, should beapproved.


The Statutory Board of AuditorsPedro João Reis de Matos Silva (Chairman)José Rodrigues de Jesus (Vice-chairman)Fernando Manuel da Conceição Reisinho (Member and Macau RegisteredAuditor - 0186)

Statutory Financial Statements

(Expressed in MOP�� )

BALANCE SHEET �� !" 2005 2004(Restated ��)

ASSETS ��

Cash �� 56,036,739.46 54,360,330.98Cheques for collection �� 37,929,850.43 43,063,724.79Deposits with AMCM (liquidity account) � AMCM ��(�� !) 114,357,276.83 110,054,987.84Due from domestic banks on demand �� !"#$%&'() 11,338,292.14 7,092,974.35Due from banks abroad on demand �� !"#$%&' 42,851,679.49 77,972,620.07Other liquid funds �� !"# 909,400.63 914,345.63Other funds with AMCM with agreed maturity � AMCM�� !"# 1,206,500,000.00 374,000,000.00Due from domestic banks with agreed maturity �� !"#$%&'() 0.00 0.00Due from banks abroad with agreed maturity �� !"#$%&' 2,676,746,395.00 2,959,720,457.96Loans and advances to customers �� !"#! 3,971,637,698.72 3,557,026,271.49Specific provisions for possible credit losses �� !"# (14,583,397.60) (14,823,479.26)Bonds and other fixed income securities �� !"#$%&'� 318,318,914.62 379,473,610.18Debtors �� 331,980.00 331,980.00Interests in subsidiaries �� !"#$ 57,047,300.60 52,447,300.60Interests in other companies �� !"#$ 8,999,354.33 8,921,438.69Intangible fixed assets (net of amortization) �� !"#(�� !"#) 7,950,015.30 8,736,063.68Tangible fixed assets (net of depreciation) �� !"#(�� !"#) 81,290,927.31 93,769,368.54Accrued income and prepaid expenses �� !"#$%& 36,743,118.18 22,897,297.96Other assets �� ! 10,784,143.22 45,043,306.60

TOTAL ASSETS (NET) �� !" 8,625,189,688.66 7,781,002,600.10

LIABILITIES AND SHAREHOLDERS' EQUITY �� !"#$

Due to other credit institutions on demand �� !"#$%&' 4,339,768.18 10,978,056.12Due to other credit institutions with agreed maturity �� !"#$%&' 3,699,152.00 5,809,355.20Customer current accounts �� !"# 926,985,789.63 957,277,722.41Customer savings accounts �� !"# 1,168,652,073.32 1,286,229,254.52Customer time deposit accounts �� !"# 5,834,783,446.20 4,821,843,658.02Creditors �� 630,103.96 1,240,006.22Other liabilities �� ! 43,833,712.89 97,238,136.30Accrued expenses and deferred income �� !"#$%& 30,863,734.23 25,651,961.46General provisions �� !" 48,546,512.08 44,608,787.75Share capital �� 225,000,000.00 225,000,000.00Share premium �� ! 50,000,000.00 50,000,000.00Legal reserve �� ! 123,591,859.54 117,257,612.47Other reserves �� ! 74,525,578.98 77,745,329.97Results carried forward �� ! 0.00 0.00Net income for the year �� !"# 89,737,957.65 60,122,719.66

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY �� !"#$%& 8,625,189,688.66 7,781,002,600.10

SELECTED MEMORANDUM ITEMS �� !

Guarantees given �� ! 915,808,174.90 639,366,979.03Documentary credits �� 155,958,172.10 139,399,925.96Guarantees received �� ! 78,737,288.85 142,507,649.59Spot foreign exchange exposure (net purchase +/sold -) �� !"#�� !+/ �� -� (19,744.86) 6,957.08Forward foreign exchange exposure (net purchase +/sold -)�� !"#�� !+/ �� -� (10,957.73) (363,954.29)Valuables held for safekeeping on behalf of customers �� !"#$ 498,246,841.96 488,941,172.58Interest rate options contract purchased (+) �� !"#$%�+� 103,000,000.00 103,000,000.00Interest rate options contract sold (-) �� !"#$%�-� (103,000,000.00) (103,000,000.00)Interest rate swaps �� !"# 543,795,881.80 403,103,271.00Other commitments �� ! 665,324,625.41 602,614,913.21

�� !"#(Macau Accounting Rules �� !"#)

As at 31 December�� !"�#$



INCOME STATEMENT �� !"# 2005 2004(Restated ��)

INCOME ��

Interest and similar income �� ! 334,933,228.36 194,320,097.99Dividends �� 6,231,400.00 6,674,347.60Fee and commission income �� !"�# 32,596,932.11 27,319,949.59Gains arising from trading and other financial transactions �� !"#$%&'( 14,659,621.41 15,890,922.90Other operating revenues �� !"# 9,103,031.20 11,561,829.22Write-back of provisions for possible credit losses �� !"#$%& 7,063,733.49 2,948,241.18Extraordinary items �� ! 3,826,543.43 6,023,505.95

TOTAL INCOME �� ! 408,414,490.00 264,738,894.43

EXPENSES ��

Interest and similar expense �� ! 164,147,082.63 62,850,860.58Fee and commission expense �� !"�# 771,515.24 570,045.68Losses arising from trading and other financial transactions �� !"#$%&'( 1,765,161.45 3,103,759.95Personnel costs �� ! 74,659,247.15 71,518,299.46Other general and administrative costs �� !"#$%& 36,046,946.11 36,323,973.70Other operating costs �� !"# 1,588,595.33 1,216,786.55Taxes other than income tax �� !"# $ 1,293,933.72 1,499,135.74Amortization and depreciation of fixed assets �� !"#$%&'( 13,103,255.14 13,265,920.74Provisions for possible credit losses �� !"#$% 13,994,818.05 12,924,204.57Extraordinary items �� ! 744,979.79 843,187.80

TOTAL EXPENSE �� ! 308,115,534.61 204,116,174.77

NET INCOME BEFORE INCOME TAX �� ! 100,298,955.39 60,622,719.66

Provision for income tax �� !" 10,560,997.74 500,000.00

NET INCOME FOR THE YEAR �� !" 89,737,957.65 60,122,719.66

ALLOWANCES FOR LOAN IMPAIRMENT �� !"#$%&' 2005 2004SPECIFIC PROVISIONS �� !"

Balance at beginning of period �� ! 14,823,479.26 15,919,997.24Reversals/recoveries �� ! / �� (6,458,370.24) (985,377.49)Charge for the period �� ! 9,451,730.47 10,610,976.36Written-Off �� (3,233,441.89) (10,722,116.85)

BALANCE AT THE END OF PERIOD �� !" 14,583,397.60 14,823,479.26

GENERAL PROVISIONS �� !"

Balance at beginning of period �� ! 44,608,787.75 44,258,423.23Reversals/Recoveries �� ! / �� (605,363.25) (1,962,863.69)Charge for the period �� ! 4,543,087.58 2,313,228.21Written-Off �� - -

BALANCE AT THE END OF PERIOD �� !" 48,546,512.08 44,608,787.75

TOTAL ALLOWANCES AT BEGINNING OF PERIOD �� !"#$ 59,432,267.01 60,178,420.47

TOTAL ALLOWANCES AT END OF PERIOD �� !"#$ 63,129,909.68 59,432,267.01

Statutory Financial Statements�� !"#(Macau Accounting Rules �� !"#)

As at 31 December�� !"�#$

32 Banco Comercial de Macau �� !"#

SHARE SHARE LEGAL OTHER RETAINED NET INCOME SHAREHOLDERS�

CAPITAL PREMIUM RESERVE RESERVES EARNINGS FOR THE YEAR FUNDS

�� ! �� ! �� ! �� ! �� !" �� !"#

BALANCE ON 1 JANUARY 2003 �� !�� !"#$ 225,000,000.00 50,000,000.00 95,009,134.21 125,786,534.84 57,791,259.07 - 553,586,928.12

Transferred to retained earnings �� !"# - - - - - - 0.00

Transferred to reserves �� ! - - 11,558,251.81 - (11,558,251.81) - 0.00

Paid to shareholders(regular dividends) �� !�� !"# - - - - (46,233,007.26) - (46,233,007.26)

Paid to shareholders(exceptional dividends) �� !�� !"# - - - - - - 0.00

Net income for the year �� !" - - - - - 53,451,132.27 53,451,132.27

BALANCE ON 31 DECEMBER 2003 �� !"#�$!#%&

�� 225,000,000.00 50,000,000.00 106,567,386.02 125,786,534.84 0.00 53,451,132.27 560,805,053.13

Adjustment prior to opening balance �� !"#$%&'( - - - (16,286,587.25) - - (16,286,587.25)

BALANCE ON 1 JANUARY 2004* �� !"#$#%

�� * 225,000,000.00 50,000,000.00 106,567,386.02 109,499,947.59 0.00 53,451,132.27 544,518,465.88

Transferred to retained earnings �� !"# - - - - 53,451,132.27 (53,451,132.27) 0.00



Paid to shareholders(exceptional dividends) �� !�� !"# - - - (31,754,617.62) - - (31,754,617.62)


BALANCE ON 31 DECEMBER 2004* �� !"#�$%#&'

�� * 225,000,000.00 50,000,000.00 117,257,612.47 77,745,329.97 0.00 60,122,719.66 530,125,662.10

BALANCE ON 1 JANUARY 2005 �� !"#$#%

�� 225,000,000.00 50,000,000.00 117,257,612.47 77,745,329.97 0.00 60,122,719.66 530,125,662.10

Transferred to retained earnings �� !"# - - - (3,219,750.99) 63,342,470.65 (60,122,719.66) 0.00



Paid to shareholders(exceptional dividends) �� !�� !"# - - - - - - 0.00


BALANCE ON 31 DECEMBER 2005 �� !"#�$%#&'

�� 225,000,000.00 50,000,000.00 123,591,859.54 74,525,578.98 0.00 89,737,957.65 562,855,396.17

* Restated ��

STATEMENT OF CHANGESIN SHAREHOLDERS� EQUITY�� !"#$





Original Cost Carrying Value Carrying ValueCurrency (Inclusive of (Original (Base Currency

Premiums and Currency) - Mop)Discounts)

INVESTMENT SECURITIES PORTFOLIO �� ! ��

�� !"# �� !"#$%& �� !"# �� !"#$%"&

CERTIFICATES OF DEPOSIT ��

ABBE-2006/01 HKD 2,076,000.00 2,000,571.43 2,060,588.57ABBE-2006/03 HKD 1,552,600.00 1,510,665.27 1,555,985.25ABBE-2006/03A HKD 6,089,900.00 6,013,781.78 6,194,195.22ABBE-2007/01 HKD 2,010,200.00 2,004,947.46 2,065,096.28ABBE-2007/02 HKD 12,980,500.00 12,990,201.01 13,379,907.04ANZB-2006/02A HKD 4,011,000.00 4,001,685.07 4,121,735.62ANZB-2007/03 HKD 19,856,700.00 19,924,095.25 20,521,818.10BKIR-2006/07 HKD 2,002,700.00 2,000,971.97 2,061,001.06BYLA-2007/08 HKD 2,036,400.00 2,021,766.09 2,082,419.48CBA-2006/01 HKD 12,165,100.00 12,006,504.22 12,366,699.37CBA-2006/04 HKD 10,091,100.00 10,022,883.44 10,323,570.07CBA-2006/09 HKD 2,483,650.00 2,488,207.15 2,562,853.62CBA-2006/09A HKD 2,943,000.00 2,956,090.12 3,044,773.01DEPF-2007/08 HKD 1,042,000.00 1,025,045.87 1,055,798.17DEUT-2007/03 HKD 6,100,100.00 6,053,410.25 6,235,013.29DEXC-2007/04 HKD 8,957,700.00 8,977,042.73 9,246,354.14DEXC-2007/08 HKD 2,079,600.00 2,048,078.40 2,109,517.64HANG-2006/10 HKD 2,953,860.00 2,969,052.44 3,058,124.47HBOS-2006/01 HKD 998,000.00 999,876.78 1,029,872.93HBOS-2006/01B HKD 1,007,700.00 1,000,171.11 1,030,176.26HBOS-2006/02 HKD 6,056,700.00 6,006,840.50 6,187,045.58HBOS-2007/02 HKD 9,992,000.00 9,995,945.21 10,295,822.58HBOS-2007/09 HKD 569,750.00 542,933.50 559,220.91HKMT-2006/02 HKD 516,333.50 501,666.68 516,716.58HKMT-2006/021 HKD 726,151.50 702,931.78 724,019.70HKMT-2006/04 HKD 1,037,000.00 1,009,765.13 1,040,057.71HKMT-2006/04 HKD 1,465,500.00 1,471,146.86 1,515,280.99NAB-2006/01 HKD 1,004,700.00 1,000,182.52 1,030,187.95NAB-2006/03 HKD 985,500.00 989,222.97 1,018,899.74RABO-2006/11 HKD 1,500,000.00 1,500,000.00 1,545,000.00RABO-2007/01 HKD 2,917,350.00 2,929,079.80 3,016,952.30RBCA-2006/04 HKD 1,004,200.00 1,001,170.00 1,031,205.10RBS-2006/10 HKD 4,916,000.00 4,936,428.40 5,084,521.14RBS-2007/12 HKD 1,038,500.00 1,024,948.00 1,055,697.35SPIN-2007/01 HKD 2,051,200.00 2,026,835.86 2,087,641.18WEST-2006/01 HKD 991,500.00 999,338.01 1,029,318.22WSTP-2006/02 HKD 5,179,417.00 5,022,921.11 5,173,608.95WSTP-2006/10 HKD 2,975,100.00 2,981,012.93 3,070,443.39WSTP-2007/09 HKD 524,400.00 514,927.06 530,375.51

TOTAL CERTIFICATES OF DEPOSIT�� !" 148,889,112.00 148,172,344.16 152,617,514.48


Original Cost Carrying Value Carrying ValueCurrency (Inclusive of (Original (Base Currency

Premiums and Currency) - Mop)Discounts)

�� ! ��

�� !"#$%& �� !"# �� !"#$%"&

FLOATING RATE CERTIFICATES OF DEPOSIT�� !"

BAM-2006/10 USD 1,433,040.00 1,413,883.57 11,292,829.86

BAM-2008/01 USD 101,200.00 100,792.36 805,038.66

CITI-2006/03 USD 510,650.00 502,208.61 4,011,190.39

IBRD-2006/06 USD 149,850.00 149,914.13 1,197,379.15

IBRD-2006/07 USD 308,360.00 302,860.31 2,418,975.58

IFC-2007/08 USD 1,669,480.00 1,642,021.36 13,114,988.80

JPM-2006/02 USD 1,773,720.00 1,705,352.00 13,620,816.96

JPM-2006/08 USD 208,580.00 203,117.67 1,622,321.14

JPM-2007/05 USD 1,143,050.00 1,124,401.14 8,980,704.35

RABO-2006/05 USD 717,710.00 705,782.48 5,637,155.25

TOTAL FLOATING RATE CERTIFICATES OF DEPOSIT�� !"#$ 8,015,640.00 7,850,333.63 62,701,400.14

CALLABLE DEPOSITS �� !"

BCPF-2008/082 HKD 100,000,000.00 100,000,000.00 103,000,000.00

TOTAL CALLABLE DEPOSITS �� !"#$ 103,000,000.00

318,318,914.62

Original Quantity Nominal Value Book ValueCurrency (per Unit) (MOP) �� ! �� !

EQUITY HOLDINGS PORTFOLIO �� !"# (��) (�� )

INVESTMENTS IN SUBSIDIARIES (AT COST) �� !"#$%(�� )

Macau Insurance Company (Subsidiary) �� !"#$%(�� !) MOP 18,400 1,000.00 57,041,900.60

Macau Life Insurance Company (Subsidiary) �� !"#$%&'(�� !) MOP 5 1,000.00 5,400.00

57,047,300.60

OTHER INVESTMENTS (AT COST) �� !(�� )

World Trade Centre Macau �� !"#$% MOP 750 1,000.00 500,000.00

Macau Productivity and Technology Transfer Centre �� !"#$%&'() MOP 3 50,000.00 150,000.00

Joint Electronic Teller Services (Jetco) Joint Electronic Teller Services (Jetco) HKD 8 100.00 6,211,438.69

Joint Electronic Teller Services (Jetco) Joint Electronic Teller Services (Jetco) HKD - - 2,060,000.00

Millennium BCP Serviços Millennium BCP Services EUR 750 1.00 7,091.63

Master Card International �� !(��) USD 718 12.35 70,824.01

8,999,354.33





At The Beginning Additions/ Write-offs/ At The Endof The Year Transfers Disposals of the Year

(end of 2004) 2005 2005 2005�� ! �� ! �� !

FIXED ASSETS (COST) �� !(��) (�� !!"#) �� / ��

INTANGIBLE ASSETS �� !"#

Set-up costs �� ! 1,837.64 0.00 1,837.64 0.00

Computer software �� ! 19,333,330.35 199,449.22 82,716.81 19,450,062.76

Project installation expenditure �� !"# 9,024,905.70 5,910,794.07 0.00 14,935,699.77

Projects under development �� !"#$ 3,669,285.01 (3,669,285.01) 0.00 0.00

TOTAL INTANGIBLE ASSETS �� !"#$% 32,029,358.70 2,440,958.28 84,554.45 34,385,762.53

PROPERTY AND EQUIPMENT �� !"

Buildings �� 92,838,242.35 51,884.00 8,675,658.00 84,214,468.35

Heavy repairs and �� ! /improvements (own buildings) ��(��) 31,416,075.73 410,768.45 2,222,493.00 29,604,351.18

Heavy repairs and �� ! /improvements (leasehold) ��(��) 5,827,949.00 0.00 64,750.00 5,763,199.00

Furniture and fixtures �� !" 8,507,654.62 139,315.00 385,328.79 8,261,640.83

Office equipment �� !" 2,971,299.11 150,671.00 218,500.79 2,903,469.32

Computer equipment �� ! 44,081,082.23 3,367,325.90 1,516,157.21 45,932,250.92

Interior installations �� ! 5,720,888.43 444,330.00 177,693.50 5,987,524.93

Security equipment �� ! 3,025,025.43 120,370.50 34,774.00 3,110,621.93

Motor vehicles �� 2,717,074.00 0.00 0.00 2,717,074.00

Projects under development �� !"#$ 63,600.00 (63,600.00) 0.00 0.00

Others �� 605,585.95 3,385.00 2,000.00 606,970.95

TOTAL PROPERTYAND EQUIPMENT �� !"#$ 197,774,476.85 4,624,449.85 13,297,355.29 189,101,571.41

TOTAL FIXED ASSETS �� !"# 229,803,835.55 7,065,408.13 13,381,909.74 223,487,333.94

AMORTIZATION/DEPRECIATION �� / ��


Set-up costs �� ! 1,837.64 0.00 1,837.64 0.00

Computer software �� ! 18,356,823.72 619,123.29 82,716.81 18,893,230.20


Projects under development �� !"#$ 0.00 0.00 0.00 0.00

TOTAL INTANGIBLE ASSETS �� !"#$% 23,293,295.02 3,227,006.66 84,554.45 26,435,747.23



Buildings �� 15,996,384.47 1,658,311.80 1,470,611.60 16,184,084.67

Heavy repairs and �� ! /improvements (own buildings) ��(��) 28,744,346.13 2,185,158.85 2,222,493.00 28,707,011.98

Heavy repairs and �� ! /improvements (leasehold) ��(��) 5,688,325.20 87,840.20 64,750.00 5,711,415.40

Furniture and fixtures �� !" 7,631,274.05 393,528.10 375,753.49 7,649,048.66

Office equipment �� !" 2,443,536.23 190,216.40 215,638.59 2,418,114.04

Computer equipment �� ! 34,741,237.30 4,352,255.57 1,514,888.51 37,578,604.36

Interior installations �� ! 4,325,842.90 616,823.66 171,803.50 4,770,863.06

Security equipment �� ! 2,075,114.43 228,147.30 34,774.00 2,268,487.73

Motor vehicles �� 2,359,047.60 163,966.60 0.00 2,523,014.20

Projects under development �� !"#$ 0.00 0.00 0.00 0.00

Others �� 0.00 0.00 0.00 0.00

TOTAL PROPERTY ANDEQUIPMENT �� !"#$ 104,005,108.31 9,876,248.48 6,070,712.69 107,810,644.10

AMORTIZATION/DEPRECIATION �� / �� 127,298,403.33 13,103,255.14 6,155,267.14 134,246,391.33

TOTAL FIXED ASSETS (NET) �� !"#(��)


Set-up costs �� 0.00 0.00 0.00 0.00

Computer software �� ! 976,506.63 (419,674.07) 0.00 556,832.56


Projects under development �� !"#$ 3,669,285.01 (3,669,285.01) 0.00 0.00

TOTAL INTANGIBLE ASSETS �� !"#$% 8,736,063.68 (786,048.38) 0.00 7,950,015.30


Buildings �� 76,841,857.88 (1,606,427.80) 7,205,046.40 68,030,383.68

Heavy repairs and �� ! /improvements (own buildings) ��(��) 2,671,729.60 (1,774,390.40) 0.00 897,339.20

Heavy repairs and �� ! /improvements (leasehold) ��(��) 139,623.80 (87,840.20) 0.00 51,783.60

Furniture and fixtures �� !" 876,380.57 (254,213.10) 9,575.30 612,592.17

Office equipment �� !" 527,762.88 (39,545.40) 2,862.20 485,355.28

Computer equipment �� ! 9,339,844.93 (984,929.67) 1,268.70 8,353,646.56

Interior installations �� ! 1,395,045.53 (172,493.66) 5,890.00 1,216,661.87

Security equipment �� ! 949,911.00 (107,776.80) 0.00 842,134.20

Motor vehicles �� 358,026.40 (163,966.60) 0.00 194,059.80

Projects under development �� !"#$ 63,600.00 (63,600.00) 0.00 0.00

Others �� 605,585.95 3,385.00 2,000.00 606,970.95

TOTAL PROPERTY ANDEQUIPMENT �� !"#$ 93,769,368.54 (5,251,798.63) 7,226,642.60 81,290,927.31

TOTAL FIXED ASSETS (NET) �� !"#(��) 102,505,432.22 (6,037,847.01) 7,226,642.60 89,240,942.61



Statutory Financial Statements�� !"#(International Financial Reporting Standards�� !"#$%)

NET INTEREST INCOME�� !" 2005 2004VOLUME/RATE ANALYSIS�� /�� ! AVG. BAL. INC./EXP. YIELD/COST AVG. BAL. INC./EXP. YIELD/COST

�� ! �� / �� / �� / �� / ��

INTEREST INCOME �� !

Funds on demand with banks �� !"#$%& 292,889 2,546 0.87% 235,397 186 0.08%Placements with banks and �� !

other financial institutions �� !"#$% 3,691,482 109,912 2.98% 3,231,963 50,569 1.56%Trading/available for sale securities�� ! /

�� !"#$% 0 0 0.00% 0 0 0.00%Held-to-maturity securities �� !"#

(net of premiums/discounts) (�� !"#�) 357,923 11,027 3.08% 328,734 9,724 2.95%Loans and advances to customers �� !"#! 3,660,584 189,209 5.17% 2,876,065 120,653 4.18%Derivatives IRS �� !"# 501,628 19,631 3.91% 330,498 10,828 3.27%

TOTAL INTEREST INCOME �� !"# 8,504,505 332,325 3.91% 7,002,657 191,960 2.74%

INTEREST EXPENSE �� !

Deposits from banks on demand �� !"# 32,754 0 0.00% 3,056 0 0.00%Deposits from banks �� !"# 14,318 1,066 3.00% 63,366 946 1.49%

with agreed maturityCustomer current accounts �� !"# 1,103,254 2,927 0.27% 836,102 55 0.01%Customer savings accounts �� !"# 1,264,362 12,343 0.98% 1,174,915 1,404 0.12%Customer time deposit accounts �� !"# 5,148,300 131,063 2.55% 4,179,165 54,984 1.31%Derivatives IRS �� !"# 501,628 14,140 2.82% 330,498 3,102 0.94%

TOTAL INTEREST EXPENSE �� !"# 8,064,616 161,539 2.00% 6,587,102 60,491 0.92%

NET INTEREST INCOME �� !"#$ 170,786 1.90% 131,469 1.82%

2005/2004 *�� /��

VOLUME RELATED RATE RELATEDINCREASE INCREASE NET INCREASE

(DECREASE) (DECREASE) (DECREASE)�� !"#$ �� !"#$ �� !"#$

(��) (��) (��)

INTEREST INCOME �� !

Funds on demand with banks �� !"#$%& 56 2,304 2,360Funds with agreed maturity date in banks �� !"#$%& 8,033 51,310 59,343Trading/available for sale securities �� ! /�� !"#$% 0 0 0Held-to-maturity securities (net of premiums/discounts) �� !"#(�� !"#�) 869 434 1,303Loans and advances to customers �� !"#! 36,792 31,764 68,556Derivatives IRS �� !"# 6,370 2,433 8,803

TOTAL INTEREST INCOME �� !"# 52,120 88,245 140,365

INTEREST EXPENSE �� !

Due to banks on demand �� !"#$% 0 0 0Due to banks with agreed maturity �� !"#$% (385) 505 120Customer current accounts �� !"# 23 2,849 2,872Customer savings accounts �� !"# 115 10,824 10,939Customer time deposit accounts �� !"# 15,051 61,028 76,079Derivatives IRS �� !"# 2,260 8,778 11,038

TOTAL INTEREST EXPENSE �� !"# 17,063 83,985 101,048

NET INTEREST INCOME �� !" 35,057 4,260 39,317

* Volume-Rate variance is prorated according to changes in volume and rates.* �� /�� !"�� !"#$%&'()*

(Expressed in thousands of MOP�� !")


BALANCE SHEET�� !" 2005

ASSETS ��

Cash and cash equivalents �� !" 3,163,381

Amounts due from credit institutions �� !"#$%&' 998,249

AMCM Monetary Bills �� !"#$%& 82,397

Certificates of deposit �� 215,319

Loans and advances to customers �� !"#! 3,933,746

Prepayments and accrued income �� !"#$%& 37,727

Investments in subsidiaries �� !"#$ 57,047

Other investments �� ! 8,999

Property and equipment �� !" 88,634

Other assets �� ! 4,819

TOTAL ASSETS �� ! 8,590,318

LIABILITIES ��

Amounts owed to credit institutions �� !"# 8,038

Repayable on demand �� ! (4,339)

With agreed maturity �� ! (3,699)

Amounts owed to customers �� ! 7,939,184

Repayable on demand �� ! (2,104,400)

With agreed maturity �� ! (5,834,784)

Other liabilities �� ! 22,555

Accruals and deferred income �� !"#$%& 21,628

Provision for taxation �� !" 10,820

Deferred tax liabilities �� ! 3,029

TOTAL LIABILITIES �� ! 8,005,254

EQUITY ��

Share capital �� 225,000

Share premium �� ! 50,000

Legal reserve �� ! 123,592

Other reserve �� ! 94,032

Statutory provision �� !" 25,238

Retained profits �� ! 67,202

TOTAL EQUITY �� ! 585,064

TOTAL LIABILITIES AND EQUITY �� !"#$ 8,590,318

INCOME STATEMENT �� 2005

Interest income �� ! 334,933

Interest expense �� ! (164,147)

Net interest income �� !" 170,786

Fee and commission income �� !"#$ 41,700

Fee and commission expense �� !"#$ (772)

Net fee and commission income �� !"#$% 40,928

Dividend income �� ! 6,231

Net trading income �� !" 12,894

Other operating income �� !"# 3,827

Operating income �� ! 22,952

General administrative and operating expenses�� !"#$%& (127,436)

Impairment losses released/(charged) on loans andadvances to customers

�� !"#!$%&'()* /(��) 18,307

Operating expenses �� ! (109,129)

Profit before taxation �� ! 125,537

Income tax �� (13,590)

Profit after taxation �� ! 111,947

Effects of additional provision for loans underAutoridade Monetária de Macau ("AMCM") rules�� !"#$%&'()*+,&-.

Profit after taxation �� ! 111,947

Additional provision under AMCM rules�� !"#$%&'() (25,238)

Deferred tax on additional provision �� !"#$%&' 3,029

Results for the year under AMCM rules�� !"#$%&'() 89,738

(Expressed in thousands of MOP�� !")As at 31 December �� !"�#$

Statutory Financial Statements�� !"#(International Financial Reporting Standards�� !"#$%)

For the year ended 31 December�� !"# $%&'(



CASH FLOW STATEMENT�� !"# 2005

CASH FLOWS FROM OPERATING ACTIVITIES �� !"#$%&

Profit before taxation �� ! 125,537

Adjustments for: ��

Depreciation �� 13,103Gains on disposal of property and equipment �� !"#$%&' (281)Exchange loss/(gain) on investment �� !"#$ /�� ! 64Amortisation of premium/discount �� !" / �� (2,038)Other investment income �� ! (19,492)

116,893

CHANGES IN OPERATING ASSETS �� !"��

Increase in amounts due from credit institutions �� !�� !"# (225,345)Increase in advances to customers �� !"#$ (436,150)Decrease/(increase) in debtors and prepayments �� !"#�� !� /�� ! 29,566

(631,929)

CHANGES IN OPERATING LIABILITIES �� !"

(Decrease)/increase in amounts owed to credit institutions �� !�� !/ �� (8,749)Increase in amounts owed to customers �� !"#$ 797,733(Decrease)/increase in credits and accruals �� !"�� !/ �� (4,394)

784,590

CASH FLOW GENERATED FROM OPERATIONS �� !"#$% 269,554

Macau Complementary Tax paid �� !"#$%& (730)

NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES �� !"#$%&' /(��) 268,824

CASH FLOWS FROM INVESTING ACTIVITIES �� !"#$%�

Dividends received �� 6,231Interest on debt investments received �� !"#$%& 13,261Purchase of property and equipment �� !"#$ (7,063)Proceeds from sale of fixed assets �� !"#$%&' 7,505Purchase of shares in subsidiary �� !"#$% (4,600)Proceeds from sale of investments �� !"#$% 128,889

NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES �� !"#$%&' /(��) 144,223

NET CASH INFLOW/(OUTFLOW) BEFOREFINANCING ACTIVITIES CARRIED FORWARD �� !"#$%&'()* /(��) 413,047

CASH FLOWS FROM FINANCING ACTIVITIES �� !"#$%&

Dividend paid �� ! (57,006)

NET CASH OUTFLOW FROM FINANCING ACTIVITIES �� !"#$%&' (57,006)

INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS �� !"#$% /(��) 356,041

CASH AND CASH EQUIVALENTS AT 1 JANUARY �� !"#$%#$&' 2,807,340

CASH AND CASH EQUIVALENTS AT 31 DECEMBER �� !"�#$%&'(&')* 3,163,381

Financial Statements�� !(International Financial Reporting Standards�� !"#$%)

For the year ended 31 December 2005 �� !!"#$ %&$'()#*


STATEMENT OF CHANGESIN SHAREHOLDERS EQUITY�� !"#$

(International Financial Reporting Standards�� !"#$%)

SHARE SHARE LEGAL OTHER STATUTORY RETAINED

CAPITAL PREMIUM RESERVE RESERVES PROVISION PROFITS TOTAL

�� ! �� ! �� ! �� !" �� ! ��

Balance at 1 January 2004, �� !"#$#%&

as previously reported �� ! 225,000 50,000 106,567 125,787 - 53,451 560,805opening adjustment arising from �� !"#$%&

the change in accounting policies �� !" - - - - - (16,287) (16,287)

BALANCE AT 1 JANUARY 2004, �� !"#$#%

restated �� ! 225,000 50,000 106,567 125,787 - 37,164 544,518

Transfer �� - - 10,690 (31,754) - 21,064 0

Profit for the year, restated �� !�� ! - - - - - 60,123 60,123

Dividends to shareholders �� - - - - - - 0

Net income for the year �� !" - - - - - (74,516) (74,516)

BALANCE AT 31 DECEMBER 2004 �� !"#�$%#&'

�� 225,000 50,000 117,257 94,033 - 43,835 530,125

Balance at 1 January 2005, �� !"#$#%&'()

as previously reported �� ! 225,000 50,000 117,257 94,033 - 63,342 549,632opening adjustment arising from �� !"#$%&

the change in accounting policies �� !" - - - - - (19,506) (19,506)

BALANCE AT 1 JANUARY 2005, �� !"#$#%

restated �� ! 225,000 50,000 117,257 94,033 - 43,836 530,126

Transfer �� - - 6,334 - - (6,334) 0

Profit for the year �� !�� ! - - - - - 111,947 111,947

Statutory provision �� - - - - 25,238 (25,238) 0

Dividends to shareholders �� !" - - - - - (57,008) (57,008)

BALANCE AT 31 DECEMBER 2005 �� !"#�$%#&'

�� 225,000 50,000 123,591 94,033 25,238 67,203 585,064


Financial Statements�� !"#$%&'()*+,(International Financial Reporting Standards�� !"#$%)


Principal Shareholders�� !

SHAREHOLDERS �� Number of Shares (%)�� ! �� !"

Dah Sing Bank, Limited �� !"#$% 701,999 78.00%

DSB BCM (1), Limited DSB BCM (1), Limited 99,000 11.00%

DSB BCM (2), Limited DSB BCM (2), Limited 99,000 11.00%

Other �� 1 -

900,000 100.00%


Human Resources�� !"#

HUMAN RESOURCES �� !"# 2005 2004

NUMBER OF FULL-TIME EMPLOYEES �� !"#

Male �� (103) (94)Female �� (168) (174)

TOTAL �� 271 268

TOTAL NUMBER OF EMPLOYEES BY AGE GROUP �� !"#$%&

24 years old or less 24�� ! 33 19From 25 to 29 25 � 29 � 53 55From 30 to 34 30 � 34 � 47 52From 35 to 39 35 � 39 � 42 43From 40 to 44 40 � 44 � 35 41From 45 to 54 45 � 54 � 49 50Over 54 54 �� 12 8

TOTAL �� 271 268

2005 2004TOTAL NUMBER OF EMPLOYEES

BY PROFESSIONAL CATEGORY �� !"#$%&

Top management �� 14 14Middle management �� !"# 34 36Specific/Technical �� /�� ! 45 44Clerical and Other �� !" 178 174

TOTAL �� 271 268

TOTAL NUMBER OF EMPLOYEES BYEDUCATION LEVEL AND FUNCTION �� !"#$%&'()*+

BASIC EDUCATION �� !"#

Head �� - -Specific function �� ! - -Administrative function �� ! 2 2Auxiliary function �� 5 5

TOTAL BASIC EDUCATION �� !"#$%&' 7 7

SECONDARY EDUCATION �� !

Head �� 25 26Specific function �� ! 11 13Administrative function �� ! 111 113Auxiliary function �� 4 4

TOTAL SECONDARY EDUCATION �� !"#$% 151 156

HIGH EDUCATION (University Degree or Higher) �� !"#(�� !")Head �� 23 26Specific function �� ! 29 32Administrative function �� ! 61 47Auxiliary function �� - -

TOTAL HIGH EDUCATION �� !"#$%&' 113 105

TOTAL NUMBER OF EMPLOYEES BY SENIORITY �� !"#$%&

Less than 1 year �� ! 53 27From 1 to 5 1 � 5 � 35 36From 5 to 10 5 � 10 � 59 81From 10 to 15 10 � 15 � 39 61Over 15 15 �� 85 63

TOTAL �� 271 268


Senior Business Advisor

Yau Tat Wang, Dennis

General Manager

Ang Poon Kien

Álvaro Augusto Macedo Caixeiro

António Candeias Castilho Modesto

Senior Deputy General Manager

Tou Kei San, Sam

Deputy General Manager

Luís Filipe Martins Quental

José João Barreiros Pãosinho

Cheung Yee Wah, Amy

Kot Man Cheong, Abraham

Renata Krystyna Strauch

Vong Cheok I, Cherry

Rosa Lau

Leong Ut Oi, Felícia

Senior Manager

Cheong I Leng, Jeannette

Chiu Siu Leng, Veroni

Ho Mei Leng, Virgínia

Manager

Fernanda Bernardete de Sousa

Francisco Viseu

Lam Kei Meng, Maina

Lau Kai San, Stephen

Ho Keang Wa, Tony

Tam Fong Leng, Frances

Tam Mei I, Audrey

Margarida Lam

Iu Cheok In, Angela

Chan Fong Mei, May

Chong Sou Keong, Simon

Lei Tak Kun, Rico

Management�� !"#

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António Candeias Castilho Modesto

�� !"#

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Luís Filipe Martins Quental

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Renata Krystyna Strauch

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��

��

��

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Fernanda Bernardete de Sousa

Francisco Viseu

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BRANCH ADDRESS TEL.(+853) BRANCH MANAGER�� ! ��

Main Branch Avenida da Praia Grande, 572 7910000 Lau Kai San, Stephen�� !" 572 � ��

Iao Hon Rua 2, Bairro Iao Hon, 46-48 416283 Chan Va Lok, Danny�� !"#$%&' 46-48 � ��

Areia Preta Estrada Marginal do Hipódromo, 30-30E 378262 Lei Pui Fong, Frances�� !"#$%!& 30-30E��

Sidónio Pais Avenida Sidónio Pais, 69A 573637 Wu Sut Lai, Doris�� !" �� !"#$% 69 � A ��

Palha Rua da Palha, 4-6 373762 Loi Vai Leng, Donna�� ! 4-6 � ��

Lacerda Avenida Almirante Lacerda, 43B 316191 Vu Heng Ip, Lawrence�� ! �� !"#$% 43 � B ��

Kin Wa Estrada Marginal da Areia PretaEdifício Kin Wa, Bloco 13 - Loja A 450759 Ung Soc Iu, Connie

�� !"#$%&'()* A ��

Patane Rua Visconde Paço d'Arcos, 402 952942 Chan Sou Kun, Eda�� !"# 402 � ��

Mercadores Rua dos Mercadores, 40 572610 Ho Kit Sam, Shirley�� ! �� ! 40-42 � ��

Amaral Estrada Coelho do Amaral, 109 371669 Ho Sio Kun, Judy�� ! �� ! 109 � ��

Ponte e Horta Praça Ponte e Horta, 29 378704 Lei Wai Kin, Andy�� 29 � ��

Toi San Bairro Tamagnini Barbosa, Bloco 9Edifício Man Seng Kok, r/c, Loja A1 238483 Alberto Sio

�� !"#$%&'()*+,- A1 ��

Taipa Rua Correia da Silva, 25, Taipa 827677 Vong Sio Teng, Ann�� !�"# 25 � ��

Tak Fok Avenida de Kuong TungEdifício Tak Fok Sea View Garden, r/c,Loja F, Taipa 821308 Pun Pou Iu, Joanne

�� !"#$%&'( F � ��

Coloane Largo do Matadouro, 9, Loja D, Coloane 882374 Chan Hon Kit, Raymond�� ! 9 � D ��

Horta e Costa Avenida de Horta e Costa, 108A, r/c 216523 Chan Vai I, Annabel�� !"# 108 � A ��

Private Banking Avenida da Praia Grande, 572 728028 Kot Man Cheong, Abraham�� ! �� !" 572 � ��

Telephone Banking Avenida da Praia Grande, 572 7968100 Lee Po Yin, Anita�� ! �� !" 572 � ��

Electronic Banking Avenida da Praia Grande, 572 7910415 Tam Fong Leng, Frances�� ! �� !" 572 � ��

Branch Network�� !


MAY ��

• Credit Card “Mother’s Day

Special Offer” Stimulation

Program

• May and June Merchant Discount

Offer

• Second Round Roadshow for

Credit Card “Redeem the

Welcome Gift at your Desire”

Acquiring Program

• BCM MultiCapital/FlexiCapital Special Offer

• �� !"#$%%&'(�� !"#

• �� !"# !$�� !"#

• �� !"#�� !"#$%&'E�F

• �� !"#$%&'()*

JUNE ��

• Credit Card “Give a Big Thanks

to Our Respectable Father”

Stimulation Program

• Extension of Credit Card

“Redeem the Welcome Gift at your

Desire” Acquiring Program

• BCM Car Loan new Charging

Scheme and Special Offer Campaign

• BCM Education Plan Campaign (Summer '05)

• BCM Happy Trip Stimulation Campaign (Summer '05)

• �� !"#$%&'(�� !"#

• �� !"#�� !"#$%

• �� !"#�� !"#$%&'()

• �� !"#$%&'�� !"#

• �� !"�� !"#$%&'

JULY ��

• Credit Card “Moon Cake Offer”

Joint Promotion with Vang Kei

Supermarket


Joint Promotion with Future Bright

Group

• Car Loan “Cash Rebate Double Up”

Campaign

• BCM Net Stimulation Campaign

• �� !"#$%&�� !"#$%&'(

• �� !"#$�� !"#$%&'(

• �� !�� !"#$%&�� !

• _`j=kÉí=�� !"#$%&'

Main Events in 2005�� !"#$%

JANUARY ��

• Credit Card “Chinese New Year” Stimulation Campaign• �� !"#$%&'(

FEBRUARY ��

• BCM Guaranteed Savings Scheme Stimulation Campaign

• BCM/MIC Annual Meeting 2005

• Sponsorship of “BCM bank Medal 2005”

organized by Macau Golf and Country Club

• Sponsorship of Chinese New Year red pocket

distribution organized by the Instituto para os

Assuntos Cívicos e Municipai (IACM)• �� !"#$�� !

• OMMR��

• �� !"#$%&'()*

�� !"#$%&'()*+,-.

'• �� !"#�� !"#$%&'(��

MARCH ��

• BCM Happy Trip Awareness

Program

• BCM DriveSafe Awareness

Program

• Sponsorship of Macau Culture Centre Chinese Opera

“Ming Chee Sing”

• �� !"�� !"#$%

• �� !" !#$�� !

• �� !"#$%�� !"#$�� !"

APRIL ��

• Launching of Credit Card

“Redeem the Welcome

Gift at your Desire”

Acquiring Program

• First Round Roadshow for

Credit Card “Redeem the

Welcome Gift at your Desire”

Acquiring Program

• Sponsorship of Macau Culture

Centre Chinese Opera “A Sentimental Journey”

• BCM Personal and Family Loan “Extraordinary Offer of

Credit Card Bonus Point” Campaign

• �� !"#�� !"#

• �� !"#�� !"#$%&'E�F

• �� !"#$%�� !"#�� !"#

• �� !"#�� !"#�� !"#$%&


AUGUST ��

• Signing up of the agreement

between BCP and Dah Sing

Group for the acquisition by the

latter of BCM, MIC and MLIC

• Credit Card “Summer Surprise”

Acquiring Program


Joint Promotion with the

Landmark Macau

• Credit Card “EZ-Shopping”

Special Offer

• BCM DriveSafe Awareness Program

• �� !"#$%&"#'()*+,-. !"#/

�� !"��#$ !%&'(

• �� pìããÉê=pìêéêáëÉ�� !"#

• �� !"#$%&'(�� !"#$%&'(

• �� !"#$�� !

• �� !" !#$�� !

SEPTEMBER ��

• Credit Card “A break

from your busy life”

Stimulation Program

• September and October

Merchant Discount Offer

• Extension of Car Loan

“Cash Rebate Double

Up” Campaign

• BCM Guaranteed

SaveMax Campaign

• BCM “The Historic Centre of Macau” Photography Contest

• �� !"#=�� !• �� !"#$%&'�� !

• �� !�� !"#$%&�� !"#

• �� !"#$�� !

• �� !"#$%&'()�� !

OCTOBER ��

• Credit Card “Fantasy Lucky

Draw” Stimulation Campaign

• Credit Card Joint Promotion with

Nirvana Day Spa - Spa Treatment

Special Offer

• �� !"#$�� !

• �� !"#$%��

NOVEMBER �� • Credit Card “Sensational Offers”

Acquiring Campaign

• November and December

Merchant Discount Offer

• Car Loan “Birthday Offer”

Campaign

• TeleBCM outbound call campaign to

promote BCM Net

• BCM Insurance Products Promotion

• Sponsorship of Macau Food Festival

2005

• BCM “The Historic Centre of Macau” Photography Contest

Exhibition

• �� !"=�� !"#• �� !"#$%&�� !

• �� !�� !"#$%�� !

• �� !"�_`j=kÉí�� !"�� !"#$%

• �� !"#$%

• �� !"#$%&' OMMR��

• �� !"#$%&'()�� !"#

DECEMBER �� • Formal acquisition from BCP of BCM, MIC and

MLIC by Dah Sing Group

• Credit Card “Joy to the

World Lucky Draw”

• Credit Card Joint

promotion with CTM

• Personal Loan “3 Months

Deferred Repayment Offer”

Campaign

• BCM Happy Trip Program (Winter '05)

• �� !"#$%&'()*+ !,()-./()

�� !

• �� !"#$%&�� !

• �� !"#$%&'()*+

• �� !�P=�� ! "#�� !

• �� !"�� !"#$%&'

Main Events in 2005�� !"#$%


Area �� 27.3 Km2 �� !"#

Official languages �� ! Chinese and Portuguese (English widely spoken)�� !"#� (�� !"#�)

Population (number of residents) ��(�� !) 480,000Males �� 230,000Females �� 250,000

Activity rate �� (2004) 61.9%Male �� 70.1%Female �� 54.8%

Unemployment rate �� 4.0%

Population density �� ! 17,582 residents per Km2

�� !" 17,582��

Life expectancy at birth �� !"#$%& (2002-2003) 79.2 Years��

Human Development Index 2002 0.904�� !"#$% 2002(United Nations Development Programme �� !"#$)

Currency �� Pataca�� (MOP)(Pegged to the Hong Kong Dollar �� !") HKD1 = MOP 1.03

1�� =1.03 ��

Per capita GDP �� !"#$% MOP 181,900 (�� )(At constant prices 1996 �� < �� ! > ��) Approximately USD 22,700

� 22,700 ��

Total merchandise imports �� (2005) 31,298�in MOP millions �� !"#$

Total merchandise exports �� (2005) 19,796�in MOP millions �� !"#$

Average rate to USD �� !"#$��% 8.01(USD 1 = MOP 8.01)1 �� =8.01��

Visitor Arrivals �� ! 2005 18,711(in thousands �� !)

Number of authorized banks �� !"# 27

Number of authorized insurers �� !"#$% 24

* Government Statistical Indicators 2005�� !"#(2005)

Macau in Figures G

�� !"#$% G


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