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Agreement with Fenosa reCEPSA

3rd Aug 2006 07:00

Banco Santander Central Hispano SA02 August 2006 MATERIAL FACT Pursuant to the provisions of article 82 of the Securities Market Act 24/1988dated 28th July, Union Fenosa, S.A. and Banco Santander Central Hispano, S.A:("Banco Santander") hereby notify that they have reached an agreement wherebyUnion Fenosa, S.A. or companies belonging to its Group have become the directholders of shares of Compania Espanola de Petroleos, S.A. (CEPSA) representing4.99% of the latter's share capital. To date, this percentage was heldindirectly through its stake in Somaen Dos, S.L., a company which from now isowned 100% by the Santander Group. Additionally, Banco Santander has transferredto Union Fenosa a number of shares of CEPSA, so that the stake held by GrupoUnion Fenosa in the latter is now 5%. Banco Santander anticipates taking over Somaen Dos, S.L. by way of a merger, forwhich purpose it will hold a General Meeting during the fourth quarter of 2006. Madrid, 2nd August 2006 Union Fenosa, S.A. Ramon Novo Cabrera Banco Santander Central Hispano, S.A. Juan Guitard Marin This information is provided by RNS The company news service from the London Stock Exchange

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