Paris, January 28, 2009—On January 25, 2009, Crédit Agricole SA (CASA) and Société Générale SA (SG) signed a Memorandum of Understanding in order to combine their asset management operations. CASA will hold 70% of the new entity and SG 30%.

The new entity will combine the asset management activities of CASA, led by CAAM Group, and the European and Asian activities of SG’s asset management business, as well as 20% of TCW, its asset management subsidiary in the United States.

The new entity will have €638 billion of assets under management, which will allow it to become the 4th largest asset manager in Europe and the 9th on a global basis in terms of assets under management, and more than €1.8 billion of net banking income and €0.9 billion of gross operating income.

The signature of a final agreement is subject to consultation with the relevant employee representation groups. The consummation of the transaction will be subject in particular to the approval of the relevant regulatory authorities. 

Shearman & Sterling is representing Société Générale SA in this transaction.