Novantas and Market Rates Insight Launch Weekly Report in American Banker Newspaper

February 1, 2006

NEW YORK – Novantas LLC and Market Rates Insight today announced the launch of a new weekly statistical report for the American Banker newspaper, the premier publication that provides national coverage of the banking and financial services industries. Titled "Retail CDs: Special-Term Competition," the report covers a special form of deposit competition involving the creative use of rates and maturities.

"We are delighted to be working with American Banker on this new report, which offers critical and timely information on an important form of deposit competition," said Dave Kaytes, a Managing Director in the New York offices of Novantas.

Kaytes explained that retail banks often encounter circumstances where they are willing to offer premium rates for at least a short period of time, but want to do so under controlled conditions. By tying a premium rate to a non–standard maturity, such as five, 11 or 16 months, he said, the bank can make selective offers without disrupting its overall pricing strategy on mass-market CDs, which carry standard terms such as three, six or 12 months.

The new weekly report analyzes special-term competition in the top 15 U.S. deposit markets. In each of the 15 markets, premium rates on special–term CDs are compared with the weighted average market price of standard–term CDs. As a result, the report is able to pinpoint the most intense areas of special-term competition from week to week, as reflected in various markets, maturities and balance tiers.

Rick Barham, President and Chief Executive Officer of Market Rates Insight, said "We believe that readers will be well-served by this new report, and appreciate the trust that American Banker has placed in us to serve its national audience."

Market Rates Insight is a market intelligence company based in San Rafael, California. MRI provides up–to–the–moment competitive information in the form of a searchable database; customized reports on deposits, loans and fees; comparisons of advertised and non–advertised specials; access to web-scanned competitive advertisements; and product development tools that help banks to increase product penetration with each household they serve.

Novantas is the acknowledged leader in customer science and revenue strategy in the financial services industry. The Firm specializes in investigating and interpreting customer needs, attitudes and behaviors in ways that help companies to refine marketing decisions, customer strategies, and sales and service activities.