7 P.M. CT Update: 42 Previously Closed Branches Reopen

       Hibernia Announces Loan Deferral Payment Arrangement for
  Consumer, Small-Business and Mortgage-Banking Customers Impacted by
                               Hurricane

   The following is the latest update on branch closings and openings
in the Greater New Orleans area. The following locations that had been
closed as a result of Hurricane Katrina have reopened are operating
under their regular business hours:

   --  A total of 42 branches previously closed because of the impact
        from the hurricane have reopened, and Hibernia is working to
        bring even more back into service. A list of these branches,
        with their addresses, is listed at the end of this news
        release.

   --  ATMS that are accessible and have power are being serviced to
        ensure that customers have access to cash and their accounts.

   All other locations in greater New Orleans remain closed until
further notice.
   Hibernia also announced it has made the following arrangements for
the extension of consumer, small-business and mortgage-banking loan
payments:

   --  For Hibernia consumer borrowers in Louisiana and Mississippi
        zip codes beginning with 700, 701, 703, 704, 394, 395 and 396,
        Hibernia will defer all payments on consumer loans and lines
        of credit until January 2006. This policy also will apply to
        all small-business loans and lines of credit up to $1 million.
        Individual hardship cases not addressed by this policy will be
        handled on an individual basis.

   --  All automatic deduction payments from checking accounts
        related to these loans will be suspended during the deferment
        period. If a borrower wishes to continue automatic deductions,
        payments cannot be deferred. All automatic deduction
        authorizations will be restored on Jan. 1, 2006.

   --  For Hibernia customers impacted by the hurricane whose
        residential first mortgages are held by Hibernia, the bank
        will suspend up to three months of first-mortgage payments.
        There will be no credit reporting on these accounts during
        this period. The bank also will grant up to 18 months of
        temporary forbearance to repay suspended payments, also with
        no credit reporting. Customers should contact their applicable
        mortgage servicer at 1-877-636-4008 or 1-877-636-4013 for
        details and arrangements. The Department of Housing and Urban
        Development instituted a moratorium on commencement and/or
        continuation of foreclosure action on homes in a federally
        declared disaster area for a period of 90 days from the date
        of the declaration. Also, government insured mortgages (FHA
        and VA loans) may also qualify for a variety of assistance
        options, including special forbearance, late-fee waiver,
        modification and refinance. The appropriate contact numbers
        above can guide customers through these processes.

   In addition, the bank has set up a customer emergency information
hotline. Customers who call 1-877-706-4233 will hear the latest update
on the status of Hibernia's customer service recovery efforts. The
hotline will be updated on a regular basis.

   Here is some additional important information for Hibernia
customers and employees:

   --  Due to the significant number of customers and employees
        displaced because of the storm, Hibernia is experiencing
        extremely high volumes in branches and call centers.

   --  The transfer of the bank's systems is still under way to
        back-up facilities in Dallas and Shreveport.

   --  Direct-deposit and automatic debits and credits are being
        processed and should be posted today.

   --  Online bill payments previously set up have been processed as
        scheduled. Online account access will be made available as
        soon as the backup sites are restored.

   --  Customers requiring federal assistance can visit FEMA.gov.
        Customers can locate routing numbers for direct deposit of
        relief funds at the bottom of checks and deposit slips.

   --  The U.S. Postal Service is rerouting mail that was addressed
        to Hibernia to other locations so the bank can process lockbox
        services for its commercial customers.

   Hibernia has set up a toll-free number so employees can ask
questions and receive guidance from the bank on a variety of issues
regarding the impact on them from the hurricane. To obtain this
special toll-free number, employees should call the bank's emergency
information line and listen to the message.
   Hundreds of employees from both the storm-impacted area and other
markets are currently working in unaffected areas to support their
colleagues, customers and communities.

   Here is a list of previously closed branches that have reopened:

   --  Main Office, East Baton Rouge, 440 Third St.

   --  Delmont, East Baton Rouge, 5175 Plank Road

   --  Baker, East Baton Rouge, 2082 Main St., Baker

   --  Central, East Baton Rouge, 13363 Cooper Road

   --  Government, East Baton Rouge, 5220 Government St.

   --  Broadmoor, East Baton Rouge, 9638 Florida Blvd.

   --  Highland Road, East Baton Rouge, 19980 Highland Road

   --  Prairieville, Ascension, 16159 Hwy. 73

   --  Staring Lane, East Baton Rouge, 1961 Staring Lane

   --  College Drive, East Baton Rouge, 3110 College Drive

   --  North Range Avenue, Livingston, 116 North Range Ave. Denham
        Springs

   --  Albany, Livingston, 19129 Florida Blvd.

   --  Plantation, Livingston, 7995 Vincent Road, Denham Springs

   --  Hammond, Tangipahoa, 1506 S. Morrison Blvd.

   --  Chackbay, Lafourche, 606 Hwy. 20, Chackbay

   --  West Airline, St. John, 1200 West Airline Hwy., LaPlace

   --  West Second, Lafourche, 203 West Second, Thibodaux

   --  Grand Caillou, Terrebonne, 1513 Grand Caillou, Houma

   --  Lafourche Plaza, Lafourche, 1659 St. Mary St., Thibodaux

   --  Pierre Part, Assumption, 3510 Hwy. 70 South

   --  Raceland, Lafourche, 3908 Hwy. 1, Raceland

   --  Val Hi, Terrebonne, 1421 St. Charles St., Houma

   --  Savanne Road, Terrebonne, 2201 Martin Luther King Blvd., Houma

   --  Chauvin, Terrebonne, 5120 Hwy. 56

   --  Galliano, Lafourche, 16244 W. Main St.

   --  Napoleonville, Assumption, 110 Franklin St.

   --  Thibodaux Express, Lafourche, 121 E. Bayou Road, Thibodaux

   --  Lockport, Lafourche, 400 Crescent Ave.

   --  Napoleonville Drive Up, Assumption, 4804 Hwy. 308

   --  Tom Drive (formerly Wooddale), East Baton Rouge, 8031 Airline
        Hwy.

   --  Donaldsonville, Ascension, 400 Mississippi St.

   --  Burnside, Ascension, 1312 South Burnside, Gonzales

   --  Shenandoah, East Baton Rouge, 6040 Jones Creek Road

   --  O'Neal, East Baton Rouge, 2390 O'Neal Lane

   --  Millerville, East Baton Rouge, 1050 Millerville Road

   --  Sherwood Forest, East Baton Rouge, 4646 S. Sherwood Forest

   --  Sherwood Forest, Drive Up, East Baton Rouge, 11221 Coursey
        Blvd.

   --  Jefferson Highway., East Baton Rouge, 8009 Jefferson Hwy.

   --  Walker, Livingston, 29741 Walker Road South

   --  Livingston, Livingston, 29963 S. Magnolia St.

   --  Bluebonnet, East Baton Rouge, 6920 Bluebonnet

   Hibernia (NYSE:HIB) is on Forbes magazine's list of the world's
2,000 largest companies and Fortune magazine's list of America's top
1,000 companies according to annual revenue. Hibernia has $22.1
billion in assets and 321 locations in 34 Louisiana parishes and 36
Texas counties.