Audit Committee

Composition (May 2007)
The Audit Committee is composed of:

• Gilles Benoist, independent director and chairman of the Audit Committee
• André Levy-Lang, independent director 
• Marc Tinant

Attributions
The role of the Audit Committee is, on the one hand, to review the projects of the annual, quarterly, corporate and consolidated financial statements of the Group in order to verify, from those transmitted documents, in particular the conditions under which they were established and to ensure the relevance and continuity of the accounting principles and applied methods, and, on the other hand, to monitor the performance of the internal control system put in place by the Management Board and more particularly the system to manage the risks to which the Group is exposed as a result of its activities

The Audit Committee has free access to the Statutory Auditors, as well as to the General Auditor and the Chief Compliance Officer. It informs the Chief Executive Officer of any such contacts. The Audit Committee meets at least four times a year. Three of these meetings take place prior to the Board of Directors’ meetings called to approve the annual and quarterly financial statements. The committee may meet at the request of one of its members, or the Chairman of the Board of Directors.

Operation
In 2007, le the Audit Committee met five times to review the following issues:

• review of the Dexia corporate and consolidated fi nancial statements and results for the period ended December 31, 2006;
• 2006 report on the internal control and on internal audit activities;
• presentation of the Compliance Plan 2007;
• management of Group shareholders’ equity and the evolution of the Basel II process;
• report on risk assessment and monitoring in 2006;
• monitoring the independence process for the auditors;
• review of the Dexia corporate and consolidated financial statement and results of the period ended March 31, 2007;
• state of implementation of the audit plan 2007 as of March 31, 2007;
• quarterly risk review;
• review of the Dexia corporate and consolidated financial statements and results for the period ended June 30, 2007;
• monitoring of the Compliance situation in the Group;
• renewal of the mandate of Dexia Group’s auditors;
• half-yearly report on internal audit and its activities for the period ended June 30, 2007;
• monitoring costs and their elasticity compared to the evolution of earnings;
• development of retail activities;
• evolution of the Lernout & Hauspie case;
• evolution of the situation at Dexia Bank Nederland;
• monitoring major IT projects;
• the financial and the subprime crisis, and the situation of FSA;
• procedure relative to transactions on Dexia securities by members of staff;
• review of the Dexia corporate and consolidated financial statement and results of the period ended September 30, 2007.