MADRID, SPAIN, Sep. 21, 2009 (Marketwire) --

MADRID, SPAIN -- (Marketwire) -- 09/21/09 -- Banco Santander, S.A. (NYSE: STD)

THIS PRESS RELEASE IS NOT TO BE DISTRIBUTED TO ANY PERSON LOCATED OR RESIDENT IN THE REPUBLIC OF ITALY.

THE EXCHANGE OFFER IS NOT BEING MADE, AND NEITHER THIS PRESS RELEASE NOR ANY OFFERING MATERIAL RELATING TO THE EXCHANGE OFFER IS TO BE DISTRIBUTED, TO ANY PERSON RESIDENT IN OR LOCATED INSIDE THE EUROPEAN ECONOMIC AREA, OTHER THAN TO "QUALIFIED INVESTORS" (AS DEFINED IN THE PROSPECTUS DIRECTIVE).

On 25 August 2009, Banco Santander, S.A. ("Santander" and together with its subsidiaries the "Group") announced that its subsidiary, Santander Financial Exchanges Limited (the "Offeror"), commenced an offer (the "Exchange Offer") of up to 800,000 10.5% Fixed-to-Floating Non-Cumulative Guaranteed Series 11 Preferred Securities, par value $1,000 per security, of Santander Finance Preferred, S.A. Unipersonal (the "Fixed-to-Floating Exchange Preferred Securities") in exchange for the Existing Securities described below.

As determined today, in accordance with the terms and conditions of the Exchange Offer, as described in the Prospectus dated 25 August 2009, the Fixed-to-Floating Exchange Preferred Securities to be issued will have a fixed spread to LIBOR of 7.673%.

The Exchange Offer will expire, subject to any required extension of the offer, on 23 September 2009, at 5:00pm New York time, unless extended or earlier terminated by the Offeror.

                                               Fixed-to-Floating Exchange
Existing Securities           CUSIP and ISIN      Preferred Securities
-------------------           --------------   --------------------------
1,000,000 outstanding         002927AA9;       Santander Finance Preferred,
8.963% non-cumulative         US002927AA95     S.A. Unipersonal
existing Abbey National                        10.5% Fixed-to-Floating
trust preferred securities,                    (3m $Libor + 7.673%)
liquidation preference                         Non-Cumulative Guaranteed
$1,000, fully and                              Series 11 Preferred
unconditionally guaranteed                     Securities, par value
by Abbey National plc.                         $1,000 per security
                                               CUSIP No. 80281R AC6
                                               ISIN US80281RAC60

Morgan Stanley & Co. Incorporated is acting as dealer manager for the Exchange Offer. You may request a copy of the prospectus included in the registration statement by contacting the Tax Certification and Exchange Agent for the Exchange Offer, Acupay System LLC, which can be reached at +1-212-422-1222, toll-free at 1-888-385-BOND (2663), or at Info@Acupay.com.

This press release does not constitute an offer of any securities for sale. Santander has filed a registration statement (including a Prospectus and related exchange offer materials) with the Securities and Exchange Commission (the "SEC") for the Exchange Offer.

The terms of the Exchange Offer described above are subject to change.