News Release

HSBC Bank USA, N.A. and Affiliates Raise Prime and Reference Rates

13 December 2005

NEW YORK – HSBC Bank USA, N.A. and its affiliates announced that they will raise their prime and reference rates to 7.25% from 7% effective today, Tuesday, December 13, 2005.

About HSBC Bank USA, N.A.

HSBC Bank USA, N.A. has nearly 400 branches in New York State, a network of branches in Florida and California and a number of branches in other states.  Throughout the U.S., the bank serves more than 3 million individual and business customers with a full range of financial products and services. It is the principal subsidiary of HSBC USA Inc, one of the nation's largest bank holding companies by assets and an indirectly held, wholly owned subsidiary of HSBC North America Holdings Inc.  For more information about HSBC Bank USA and its products and services visit http://us.hsbc.com.

Media Contacts

• Stephen Cohen
• stephen.e.cohen@us.hsbc.com
• Director, Group Public Affairs
• HSBC Bank USA, N.A.
• (212) 525-6901