State Street Tops ISF Magazine's 2004 Combined Beneficial Owner and Borrower Rankings

January 11, 2005

BOSTON & LONDON--(BUSINESS WIRE)--Jan. 11, 2005--State Street Corporation (NYSE: STT), the world's leading provider of services to institutional investors, announced today that it has been ranked first by International Securities Finance (ISF) magazine in its 2004 combined rankings assessment.

For the first time, the publication combined the results of its annual Beneficial Owners and Global Equity Finance surveys to assess which lending agent is best managing both the borrower and lender sides of the business. In March, State Street was rated the Top Lender (weighted) in ISF's Beneficial Owners Survey; in September, State Street was named the Top Lender by borrowers for the fourth consecutive year in the publication's Global Equity Finance Survey. In addition, State Street placed first in all three regional categories (Americas, Europe and Asia) of the Global Equity Finance Survey and was ranked No. 1 for breadth of supply and global coverage.

"To be successful, an agent must, first and foremost, make a good return for their underlying beneficial owners; however it is important that they do not achieve this at the expense of the borrower relationships," according to ISF. "State Street ranked first, highlighting the fact that size can benefit both borrowers and beneficial owners if handled diligently."

"We appreciate this recognition by ISF and our clients - both borrowers and lenders -- and we feel it is a reflection of State Street's ability to provide outstanding service and risk managed solutions," said Edward J. O'Brien, executive vice president and head of securities finance for State Street. "Our top-quality staff, global presence and in-depth knowledge of the markets in which we operate are key assets that enable us to effectively manage relationships and meet client needs."

ISF is a quarterly magazine providing independent coverage of the securities financing and repurchase, prime brokerage and hedge fund industries. It is the only magazine dedicated to reporting all regulatory, tax legal and market developments in this business. ISF also operates a daily updated Web site, www.isfmagazine.com.

State Street lends securities in more than 35 markets around the world via a global network of trading locations -- providing clients with around-the-clock opportunities, as well as regional expertise and experience. State Street has provided securities lending services since 1974, and has developed an industry-leading approach to risk and return management. Its securities lending program is available to all institutional investors worldwide, whether their assets are held in custody at State Street or elsewhere. For more information, visit www.statestreet.com/securitiesfinance.

State Street Corporation (NYSE: STT) is the world's leading specialist in providing institutional investors with investment servicing, investment management and investment research and trading. With $9.0 trillion in assets under custody and $1.2 trillion in assets under management, as of September 30, 2004, State Street operates in 24 countries and more than 100 markets worldwide. For more information, visit State Street's Web site at www.statestreet.com.

    CONTACT: State Street CorporationHannah Grove, 617-664-3377
             or
             Carolyn Cichon, 617-664-8672

    SOURCE: State Street Corporation