Government Banking Department Overview

As well as providing public entities with a range of world-class financial services, our Government & Institutional officers work to strengthen the communities they serve through significant corporate contributions and individual commitments. Below is a brief list of the activities they participate in and contribute to:

• Board of Trustees, Lawrence General Hospital
• Board Member, State Transportation Finance Commission
• Board Member, Boston Municipal Research Bureau
• Board President, Children’s Friend in Salem, MA
• Commissioner, Commission to Eliminate Health Disparities among Racial & Ethnic Minorities
• Board of Appeals, State Office of Minority and Women Business Assistance
• Board Member, Association of Latino Professionals in Finance and Accounting
• Volunteer of Youth Enrichment Service, Boston
• Volunteer for Boston Food Bank
• Volunteer, Ronald McDonald House in Southern NJ
• Chairman of the Municipal Government Committee for the Southern NJ Development Council
• Former Chair of the Southern NJ March of Dimes Walk America

We have also formed partnerships with many of the state governments within our footprint to provide access to affordable capital through flexible, cost-effective lending programs with customized solutions for growing businesses.

Sovereign's Community Reinvestment Plan for 2007 contains a five-year commitment of the bank's resources to benefit low- to moderate-income individuals and communities within our principal banking markets. The five-year goal for 2006-2010 is $16.3 billion in loans, investments and services to communities in Pennsylvania, New Jersey, Maryland, New York, Connecticut, Massachusetts, New Hampshire and Rhode Island.

During 2007, the bank provided $3.2 billion in lending and investment, surpassing the goal of $2.9 billion. The bank's commitment provided:

• $977 million in small business loans
• $695 million in affordable home mortgages
• $430 million in Multi-Family Loans
• $940 million in consumer loans
• $135 million in community development loans
• $50.2 million in qualified CRA investments
• $3.3 million in charitable contributions to non-profit organizations

In conjunction with these programs, the Sovereign Bank Foundation and the Sovereign Endowment Fund made grants in excess of $6 million to organizations that promote Community and Economic Development, Youth & Education, Arts and Culture, as well as Health and Human Services.

Sovereign has received a Community Reinvestment Act (CRA) rating of “Outstanding” from the Office of Thrift Supervision (OTS) from its most recent CRA exam.