BAM Bam Groep (Kon)

RNS Number:0437W
Bank of Montreal
18 December 2000

Bank of Montreal Announces Agreements Relating to its Holdings in Grupo
Financiero BBVA Bancomer

TORONTO, December 18, 2000 - Bank of Montreal has entered into agreements with
Banco Bilbao Vizcaya Argentaria (BBVA) and Grupo Financiero BBVA Bancomer
(GFBB), subject to appropriate regulatory approvals, relating to Bank of
Montreal's holdings of GFBB securities. The holdings include approximately one
billion voting shares of GFBB and approximately US$99 million of subordinated
debentures issued by Bancomer, GFBB's banking subsidiary.

-     BBVA has agreed to acquire 200 million GFBB voting shares, representing   
      approximately 20 per cent of the Bank of Montreal's holdings, at a price  
      of 5.935 Mexican Pesos per share in January 2001. This transaction would  
      result in a pre-tax gain to Bank of Montreal of approximately $30         
      million.

-     Bank of Montreal retains approximately 67 million shares of GFBB in its   
      investment portfolio. The bank is committed to this holding until April   
      2002.

-     GFBB has agreed to undertake and facilitate market transactions, at Bank  
      of Montreal's direction, for the sale of 745 million shares, at market    
      prices, over the period from January 2001 to October 2002. This will      
      permit an orderly absorption  of Bank of Montreal's shareholdings into    
      the market.

-     Options to purchase approximately 10 million Bank of Montreal common      
      shares granted to GFBB in 1996 have been terminated.

-     Bancomer has agreed to redeem the US$99 million subordinated debentures by
      April 2002.

Bank of Montreal acquired a 20 per cent voting interest in GFBB in March 1996.

Bank of Montreal (TSE, NYSE:BMO), Canada's first bank, is a highly diversified
financial services institution. The bank operates more than 30 lines of business
within its group of companies, including BMO Nesbitt Burns, one of Canada's
largest full-service investment firms, and Chicago-based Harris Bank, a major
U.S. mid-west financial services provider.

Media Relations Contacts:                       Investor Relations Contacts
Joe Barbera (416)  927 2740                     Karen Maidment (416) 867 6776
Lucie Gosselin (514) 877 1101                   Lynn Inglis (416) 867 5452

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