Banco Santander SA (STD) expects its U.S. unit Sovereign Bancorp Inc (SOV) to make a small profit in the fourth quarter, and then to gradually increase profits, an executive said Monday.

The secretary of Santander's board, Ignacio Benjumea Cabeza de Vaca, said at a shareholders meeting that the bank expects profits to rise to slightly below $100 million in 2009. In 2010, it would reach $250 million, he said, and in 2011, $750 million.

The Spanish banking giant had convened shareholders for an extraordinary shareholders meeting to approve Santander's share issue to buy the 75% of Sovereign it doesn't already own.

Company Web site: www.santander.com

-By Santiago Perez, Dow Jones Newswires; 34 91 395 8119; santiago.perez@dowjones.com

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