Mellon Bank Corporation $ in millions

1
Mellon Bank Corporation( in millions)
1985 607 91 148 361 202
1986 1,078 196 316 494 183

• Total NPAs at year end
• Net credit losses
• Provision for credit losses
• End Res. For credit losses
• Year end net profit

2
Mellon Bank Corporation( in millions)
1985 607 91 148 361 202
1986 1,078 196 316 494 183
1987 1,649 421 1,056 1,130 (844)

• Total NPAs at year end
• Net credit losses
• Provision for credit losses
• End Res. For credit losses
• Year end net profit

3
GSNBOpening Balance Sheet
( in millions)

• Assets
• Loans 497
• Acquired assets 143
• 640

Liabilities Equity A-1 notes
225 A-2 Notes 288 Shareholders
Equity Senior preferred 94 Junior
preferred 3 Common
34 640
4
Assets Purchased From Mellon( in millions)

• Commercial and industrial loans
• Real estate loans
• Total loans
• Real estate assets
• Energy properties
• Total assets

GSNB Book Value 7/1/88 288 209 497 127 15 639
Book / Gross 44 64 51 39 29 47
Mellon Gross Amount 649 326 975 326 56 1,357
Number 47 69 116 73 2 191
Portfolio of 1,144 residential mortgages
considered to be one asset
5
Real Estate Loans( in millions)
Commercial (59)
33
Housing units and land (132)
63
Hotel (8)
4
Total 209 million
6
Real Estate Assets( in millions)
Housing Units (35)
Land (28)
22
28
1 Multi-Family (2)
47
2 Hotel (3)
Commercial (59)
Total 127 million
7
( in millions) Forecasted Net Cash Flows
A-1 Notes
250 200 150 100 50
A-2 Notes
190
190
Preferred and common
154
151
131
65
22
21
12
8
89 90 91 92 93
94 95 96 97 98
June 30 Fiscal Year
8
Characteristics of Notes

• Note overcollateralization
• Asset diversity
• Extensive asset reviews
• Experienced management team

9
Overview of Transaction

• GSNB Newly chartered liquidating national
  bank
• Equity purchased by Mellon - 131 million
• Mellon will dividend GSNB common to
  shareholders
• Assets purchased from Mellon at fair market
  value
• with proceeds from notes and equity

10
Collection Services Corporation(Subsidiary of
Mellon)

• Headed by R.H. Daniel
• - 35 years credit / workout experience
• - Security Pacific, Crocker, Mellon
• 46 key full-time asset managers
• - More than 250 years of bank credit
  experience

11
Mellon Bank Corporation( in millions)
1985 607 91 148 361 202
1986 1,078 196 316 494 183
1987 1,649 421 1,056 1,130 (844)
1988 964 542 321 909 (65)

• Total NPAs at year end
• Net credit losses
• Provision for credit losses
• End Res. For credit losses
• Year end net profit

12
Mellon Bank Corporation( in millions)
1985 607 91 148 361 202
1986 1,078 196 316 494 183
1987 1,649 421 1,056 1,130 (844)
1988 964 542 321 909 (65)
1990 781 405 315 525 174
1989 696 598 297 610 210

• Total NPAs at year end
• Net credit losses
• Provision for credit losses
• End Res. For credit losses
• Year end net profit

13
Mellon Bank Corporation( in millions)
1985 607 91 148 361 202
1986 1,078 196 316 494 183
1987 1,649 421 1,056 1,130 (844)
1988 964 542 321 909 (65)
1990 781 405 315 525 174
1989 696 598 297 610 210
1991 933 229 250 596 280
1992 595 277 185 506 437

• Total NPAs at year end
• Net credit losses
• Provision for credit losses
• End Res. For credit losses
• Year end net profit