Partial Repurchase

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Partial Repurchase

    Portman Building Society

                       Portman Building Society
              Issue of GBP 1,700,000 Floating Rate Notes
                        due July 2012 Series 50
                                  MTN
                             XS0261721442

Please be advised that the Issuer has repurchased GBP 750,000 of the above
issue with value 18.08.2006.

The new outstanding is GBP 950,000.

Please arrange for this to be reflected in your records.

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