Press Release 75 Embargoed until 4pm, 16.11.99

Subject: Bradford & Bingley outline details of their “bribe” for members to vote for conversion next year SOBS says: Members should reject this “Fools Gold” 1) Bob Goodall comments: “A one-off windfall will cost mortgage customers, in particular, a fortune in more expensive mortgage payments -to make profit for shareholders if Bradford & Bingley converts.” “They will pay through the nose, year in, year out for the entire life of their mortgage. In comparison to that the windfall will be ‘peanuts’.” “Members should reject this offer of fools gold and vote to remain a mutual building society when the conversion vote takes place in the Summer of 2000.” 2) The flat rate distribution scheme for windfalls announced today by Bradford & Bingley is grotesquely unfair to the traditional long term member of the Society. Borrowers should be particularly angry! A flat rate distribution scheme means that you get equally rewarded whatever your commitment to the society; Be it a carpetbagger with £100 in savings or a long term saver or borrower. Most seriously of all this distribution scheme completely disregards the importance of borrowers to a society. After all it is the borrowers who pay the bills. They can have a mortgage with a society all their working lives.” Bradford & Bingley may have made a critical mistake in ignoring the interests of borrowers as borrowers hold the key to stopping conversion It is essential that borrowers realise how unfair they are being treated and how much they stand to lose through conversion. 60% of borrowers voted against Stephen Majors carpetbagging resolution. If this voting pattern holds, Borrowers can veto the plan to turn Bradford & Bingley into a bank. They must use this power of veto when the conversion vote is held! The whole business is clearly unfair and a massive insult to the traditional member who cares about the future of the society. It is simply a “carrot” designed to improve the chances of conversion.” “Fairness doesn’t enter into the equation!” Press Release by Bob Goodall Co-ordinator “Save Our Building Societies” campaign tel 01727 847 370