Exhibit 99.1

[CHARTER ONE FINANCIAL, INC. LOGO]

CONTACT: ELLEN BATKIE (800) 262-6301

CHARTER ONE REPORTS RECORD 2nd QTR EPS OF $.72, UP 18%

Highlights for the quarter ended 6/30/03:
•     Record net earnings of $.72 per share, up 18% over 2Q 2002
•     Retail banking revenue up 16% over 2Q 2002; deposit-related portion up 19%
•     Efficiency ratio of 41.14%, compared to 38.53% in 2Q 2002
•     Excluding custodial balances, noninterest-bearing checking up an annualized 42% in 2Q 2003
•     Reserve to loans strengthened to 1.46%, up from 1.40% at 3/31/03
•     NPAs of .81% of loans and leases; underperforming assets of .98% of loans and leases

CLEVELAND, Ohio, July 17, 2003 — Charter One Financial, Inc. (NYSE:CF), the holding company of Charter One Bank, N.A., today reported record net income of $166.0 million for the three months ended June 30, 2003, or $.72 per diluted share. This was up 18.0% from $.61 in net earnings per diluted share reported in the year ago quarter. All per share data in this release have been restated for the 5% stock dividend issued on September 30, 2002.

Net income for the quarter generated annualized returns of 1.50% on average assets, 19.86% on average equity, and 22.74% on average tangible equity. In the year ago quarter the returns were 1.51% on average assets, 19.85% on average equity and 22.84% on average tangible equity.

“I am very pleased with our quarterly results achieved in what clearly was an unprecedented operating environment, and am very comfortable with our positioning for the next few quarters,” commented Charles John Koch, Charter One’s Chairman and Chief Executive Officer. “Our results include notable highlights from both our retail banking and lending activities. As we’ve indicated throughout the year, our retail banking deposit strategy is focusing on shifting an increasing percentage of balances into noninterest-bearing products, accomplished in great part by emphasizing the potential in small business relationships. That has resulted in a 26% increase in non-custodial noninterest-bearing bearing deposits in the past 12 months, with an annualized growth rate of 42% this quarter. This success was the primary driver behind the truly exceptional 19% growth in deposit-related revenue over last year’s second quarter. Separately, consumer-oriented lending activity hit new record levels, which drove a 21% growth in auto finance and 20% in home equity lines of credit.

“The persisting low-rate environment continued to drive record levels of revenue out of our residential mortgage operations. The gains resulting from the sale of mortgage-backed securities far exceeded what we consider normal levels, pushing earnings significantly above our expectations. As we have consistently indicated in the past, we do not view this level of gains as sustainable. However, such gains provide us with the flexibility to adjust our balance sheet strategy for the remainder of the year. In the current interest rate environment, we intend to limit

balance sheet growth by reducing our single-family exposure, leaving asset levels flat for the rest of the year. At this point in time, we are targeting a $2 billion reduction in single-family loans and MBSs by the end of 2003. This strategy will likely constrain the growth in net interest income for the near term. However, given the extremely low interest rate environment and the expectation that gains will continue at elevated levels for at least the next quarter, we believe reducing our single-family mortgage exposure is a prudent business strategy. In light of the earnings reported this quarter, and assuming a continuation of the current operating environment, we now expect 2003 earnings to come in at a range of $2.72 to $2.75 per share.”

Net interest income and net yield — Net interest income was $295.4 million for the three months ended June 30, 2003, down 1.2% from the previous quarter and 0.8% from the year ago quarter. Reflecting the downward pressure on asset yields in the declining rate environment, net yield declined to 2.84% during the second quarter of 2003 from 2.99% during the first quarter of 2003 and 3.30% during the second quarter of 2002.

Retail banking revenue — Retail banking revenue totaled $97.1 million for the three months ended June 30, 2003, up 16.2% from the comparable 2002 quarter. The biggest driver of the increase was deposit-related revenue, which totaled $84.9 million, up 18.9% over the year ago quarter. Deposit-related revenue reflected the benefits of the Company’s strategy to emphasize noninterest-bearing checking account growth. The other components of retail banking revenue include fees from retail brokerage activities ($8.4 million, down 5.6% from the year ago quarter), and other revenue related to retail operations ($3.8 million, up 18.0%).

Mortgage banking revenue — The mortgage banking category includes revenue associated with Charter One’s mortgage banking operations, offset by the amortization and valuation adjustments related to its mortgage servicing rights asset (“MSR”). During the second quarter, MSR-related adjustments totaled $46.7 million. The Company increased the valuation allowance by $9.5 million to $133 million, and recorded $37.2 million in permanent impairment MSR adjustments. The total mortgage banking revenue, excluding the MSR-related adjustments, was $22.8 million in the second quarter of 2003. This represented a 46.4% increase from the year ago quarter when the revenue, excluding MSR-related adjustments, totaled $15.6 million. The increase was primarily attributable to a 14% growth over the past 12 months in the portfolio serviced for others, which totaled $19.2 billion at June 30, 2003 and carried a weighted average coupon of 6.37%. The related MSR is now 0.60% of the portfolio at $115 million. With an average servicing spread of 36 basis points, that translates into an MSR valuation of 1.67 times the servicing spread.

Net gains — During the second quarter of 2003, the Company reported net gains of $108.5 million. The primary source of the gains was the sale of $3.2 billion of mortgage-backed securities. As of June 30, 2003, unrealized pretax gains in the mortgage-backed securities portfolio totaled $297 million, compared with $303 million at March 31, 2003.

Leasing operations — Other income from leasing operations was reflected as a loss of $12.2 million in the second quarter of 2003, compared with income of $317,000 in the second quarter of 2002 and a loss of $6.9 million in the first quarter of 2003. The loss in the second quarter of 2003 resulted from a $12.8 million residual adjustment associated with a $15 million leveraged

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aircraft lease that was nonperforming at March 31, 2003, and which was written off during the second quarter.

Operating expenses — Administrative expenses totaled $194.8 million in the three months ended June 30, 2003, up 6.3% from the previous quarter and up 15.5% from the year ago quarter. The efficiency ratio was 41.1% for the second quarter of 2003, compared to 39.8% for the first quarter of 2003 and 38.5% for the second quarter of 2002. Excluding net gains and the MSR-related adjustments results in an efficiency ratio of 47.3%, compared to 45.3% for the first quarter of 2003, and 41.5% for the second quarter of 2002. In general, the higher level of expenses in the quarter was attributed to higher marketing and compensation costs associated with supporting the Company’s significant retail expansion program.

Lending production and portfolio growth — Loan and lease originations totaled a record $6.7 billion during the second quarter of 2003, compared to $6.0 billion during the first quarter of 2003 and $4.4 billion in the second quarter of 2002. Non-single family loan originations totaled $3.1 billion, or 46% of the total. The non-single family activity was led by $1.2 billion in consumer loans and $1.0 billion in auto finance loans, both of which established new quarterly records.

Loans and leases before reserves totaled $25.9 billion at June 30, 2003, compared to $25.3 billion at March 31, 2003. The underlying growth rate was masked by $2.3 billion of agency securitizations during the quarter ($1.7 billion in one-to-four family and $610 million in mortgage-related consumer loans). Without the securitization activity, the total portfolio would have increased at an annualized rate of 45%, and the non-single family portion would have increased at an annualized rate of 28%. The non-single family growth was led by auto finance at 21% annualized growth during the quarter and home equity lines of credit, which posted 20% annualized growth. At the end of June, non-single family loans totaled $17.5 billion, or 67% of the total portfolio. The total loan portfolio continues to be primarily consumer based, with 77% in consumer-oriented products and 23% in commercial lending (including multifamily real estate).

Mortgage-backed securities available for sale — Mortgage-backed securities available for sale totaled $14.3 billion at June 30, 2003, up from $12.8 billion at March 31, 2003. At June 30, 2003, the portfolio was comprised of 87% in fixed-rate securities with a duration of approximately two years, and 13% in floating-rate securities.

Deposits — Deposits totaled $27.9 billion at June 30, 2003, up $556 million in the second quarter, including approximately $480 million from the Advance Bancorp acquisition that closed in June. Core deposits (checking, money market and savings accounts) accounted for $17.6 billion, or 63% of the total. At the beginning of this year, the Company indicated it would emphasize noninterest-bearing checking growth this year, as opposed to total deposits as in previous years. Excluding custodial balances and the Advance acquisition, noninterest-bearing deposits were up 42% (annualized) in the second quarter of 2003. At June 30, 2003, noninterest-bearing checking account balances represented 9.5% of total deposits, up from 8.7% at March 31, 2003 and 6.9% a year ago. Charter One ended the second quarter with 1,358,200 total checking accounts, including

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approximately 14,550 from the Advance acquisition. Custodial balances totaled $761 million at June 30, 2003, $705 million at March 31, 2003 and $352 million at June 30, 2002.

The push into small business banking continues to post impressive results. Business deposits, which are included in core deposits, increased to $1.8 billion at June 30, 2003, up $223 million, or 14% (57% annualized), during the three-month period. The Company now has 99,300 business deposit accounts, up from 85,000 at March 31, 2003.

Retail expansion update — In early 2003, Charter One announced plans for aggressive de novo expansion during 2003 and 2004. The expansion is expected to include 125 new banking centers, with 97 in-store and 28 traditional locations. The 2003 goal is to open approximately 85 new banking centers, with 69 in-store and 16 traditional locations. The Company opened 31 banking centers in the second quarter of 2003, bringing the total for the first six months to 47 new banking centers, the majority of which were in-store locations. Charter One’s in-store franchise now includes 89 banking centers. The Company is monitoring its de novo success by looking at branches after 30, 60 and 90 days. The median results for banking centers opened through May 31, 2003 were: after being opened 30 days (27 banking centers) — $1.6 million in deposits and 295 checking accounts; after 60 days (18 banking centers) — $3.7 million in deposits and 505 checking accounts; after 90 days (14 banking centers) — $4.3 million and 642 checking accounts.

Acquisition update — In addition to the aggressive de novo expansion underway, on June 6, 2003 Charter One completed its previously announced acquisition of Advance Bancorp, a $670 million bank holding company headquartered in Chicago, issuing 2.4 million shares of common stock in the transaction. Advance added 14 banking centers and approximately $480 million in deposits to Charter One’s Chicago franchise, bringing the Chicago totals to 99 banking centers and $6.6 billion in deposits.

Credit quality and allowance for loan losses — During the second quarter of 2003, Charter One continued to strengthen its level of loan loss reserves in light of the current economic environment. The total provision for the quarter exceeded net charge-offs by $15 million and the ratio of the allowance to total loans and leases increased to 1.46% at June 30, 2003 from 1.40% at March 31, 2003. Net charge-offs during the second quarter of 2003 totaled $19.9 million, or .30% of average loans and leases (annualized). The allowance for loan and lease losses increased to $376 million at June 30, 2003.

At June 30, 2003, nonperforming assets totaled $206 million or .81% of loans, leases and collateral owned, up from $194 million or .78% at March 31, 2003. However, the recently completed acquisition of Advance Bancorp added $11.6 million in nonperforming assets to the June 30 balance. Underperforming assets (including nonperforming assets, troubled debt restructuring and loans delinquent 90 days and still accruing) totaled $251 million (including $12.2 million from Advance) or .98% of loans, leases and collateral owned, compared to $252 million or 1.01% at March 31, 2003.

Stock repurchase update — On April 23, 2002, the Company authorized a new repurchase program that permits the repurchase of 10% of its outstanding shares, or approximately 22 million shares. The Company repurchased 2.1 million shares under the authorization during the

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second quarter of 2003 at an average cost of $30.99 per share, and 2.7 million shares at an average cost of $30.30 per share during the six months ended June 30, 2003. As of June 30, 2003, the total repurchased under the current authorization was 10.7 million shares at an average cost of $30.81 per share, leaving approximately 11 million shares remaining under the program.

Company profile — Charter One has $44 billion in total assets, making it one of the 25 largest bank holding companies in the country. The Bank has 522 banking center locations in Ohio, Michigan, New York, Illinois, Massachusetts, and Vermont and entered Connecticut with a banking center opened in June 2003. The Company’s diverse product set includes: consumer banking, indirect auto finance, commercial leasing, business lending, commercial real estate lending, mortgage banking, and retail investment products. For additional information, including press releases, investor presentations, committee charters, and reports filed with the SEC, investors are directed to Charter One’s web site: www.charterone.com.

The Company has scheduled a conference call to discuss quarterly results for 10:00 a.m. eastern daylight savings time on Friday, July 18, 2003. To participate in the call, dial (888) 428-4474 and ask for the Charter One 2nd quarter earnings call. The call is available on a replay basis until July 25, 2003 by dialing (320) 365-3844, access code 689016. Alternatively, the call will be available through Charter One’s website, both on a live and a replay basis.

Forward-Looking Information
This release contains certain estimates of future operating trends for Charter One Financial, Inc., as well as estimates of financial condition and earnings, operating efficiencies, revenue creation, lending origination, loan sale volumes, charge-offs and loan loss provisions. These estimates constitute forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995), which involve significant risks and uncertainties. Actual results may differ materially from the results discussed in these forward-looking statements. Factors that might cause such a difference include, but are not limited to: (1) revenue growth is lower than expected; (2) competitive pressures among depository institutions increase significantly; (3) changes in the interest rate environment reduce interest margins; (4) deterioration in the credit quality of the Company’s loan portfolio requires higher loss provisions; (5) general economic conditions, either nationally or in the states in which the Company does business, are less favorable than expected; (6) legislation or regulatory changes adversely affect the businesses in which the Company is engaged; and (7) ongoing geopolitical conflicts add unexpected stress on the economy or customer base. Other factors that may affect these statements are identified in previous filings with the Securities and Exchange Commission.

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5

CHARTER ONE FINANCIAL, INC.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited)

					Three Months Ended
					6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
					(Dollars in thousands, except per share data)
Interest income:
	Loans and leases				$	367,602		$	377,724		$	418,711		$	410,237		$	415,057
	Mortgage-backed securities:
		Available for sale				154,490			149,311			131,821			135,099			141,773
		Held to maturity				6,858			8,269			9,991			10,695			12,261
	Investment securities:
		Available for sale				3,297			3,043			2,969			2,939			2,625
		Held to maturity				56			54			60			61			60
	Other interest-earning assets					7,856			7,385			8,184			9,729			9,478
				Total interest income		540,159			545,786			571,736			568,760			581,254
Interest expense:
	Deposits					126,734			133,743			154,018			160,821			169,576
	Federal Home Loan Bank advances					104,025			99,799			105,492			103,729			103,927
	Other borrowings					13,969			13,203			13,627			13,943			9,884
				Total interest expense		244,728			246,745			273,137			278,493			283,387
				Net interest income		295,431			299,041			298,599			290,267			297,867
Provision for loan and lease losses						35,360			61,471			60,314			47,695			55,277
				Net interest income after provision for loan and lease losses		260,071			237,570			238,285			242,572			242,590
Other income:
	Retail banking					97,087			84,100			89,261			84,175			83,543
	Mortgage banking					(23,895	)		(27	)		(1,992	)		(36,961	)		9,168
	Leasing operations					(12,230	)		(6,856	)		(4,566	)		404			317
	Net gains					108,549			76,653			61,585			83,881			37,840
	Bank owned life insurance and other					8,450			7,956			7,834			7,582			8,924
				Total other income		177,961			161,826			152,122			139,081			139,792
Administrative expenses:
	Compensation and employee benefits					90,790			87,056			81,827			81,443			80,645
	Net occupancy and equipment					30,466			31,186			30,360			30,288			27,634
	Marketing expenses					20,205			13,647			9,843			11,788			10,012
	Federal deposit insurance premiums					1,125			1,142			1,142			1,104			1,106
	Other administrative expenses					52,168			50,261			53,716			46,683			49,219
			Total administrative expenses			194,754			183,292			176,888			171,306			168,616
Income before income taxes						243,278			216,104			213,519			210,347			213,766
Income taxes						77,241			68,613			67,793			66,785			67,871
			Net income		$	166,037		$	147,491		$	145,726		$	143,562		$	145,895
Basic earnings per share(1)					$	.74		$	.66		$	.65		$	.63		$	.63
Diluted earnings per share(1)					$	.72		$	.64		$	.63		$	.61		$	.61
Average common shares outstanding(1):
	Basic					225,501,687			224,997,398			225,561,551			228,765,954			231,197,406
	Diluted					231,095,694			230,460,847			231,502,688			235,615,457			239,123,292
Cash dividends declared per share(1)					$	.24		$	.22		$	.22		$	.21		$	.21

(1) Restated to reflect the 5% stock dividend issued September 30, 2002.

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CHARTER ONE FINANCIAL, INC.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited)

					Six Months Ended
					6/30/03			6/30/02
					(Dollars in thousands,
					except per share data)
Interest income:
	Loans and leases				$	745,326		$	842,895
	Mortgage-backed securities:
		Available for sale				303,801			252,901
		Held to maturity				15,127			27,061
	Investment securities:
		Available for sale				6,340			5,587
		Held to maturity				110			131
	Other interest-earning assets					15,241			17,390
				Total interest income		1,085,945			1,145,965
Interest expense:
	Deposits					260,477			339,977
	Federal Home Loan Bank advances					203,824			207,643
	Other borrowings					27,172			17,381
				Total interest expense		491,473			565,001
				Net interest income		594,472			580,964
Provision for loan and lease losses						96,831			83,994
				Net interest income after provision for loan and lease losses		497,641			496,970
Other income:
	Retail banking					181,187			157,299
	Mortgage banking					(23,922	)		20,458
	Leasing operations					(19,086	)		587
	Net gains					185,202			59,567
	Bank owned life insurance and other					16,406			18,432
				Total other income		339,787			256,343
Administrative expenses:
	Compensation and employee benefits					177,846			157,897
	Net occupancy and equipment					61,652			56,197
	Marketing expenses					33,852			18,841
	Federal deposit insurance premiums					2,267			2,317
	Other administrative expenses					102,429			95,526
			Total administrative expenses			378,046			330,778
Income before income taxes						459,382			422,535
Income taxes						145,854			134,155
			Net income		$	313,528		$	288,380
Basic earnings per share(1)					$	1.40		$	1.24
Diluted earnings per share(1)					$	1.36		$	1.21
Average common shares outstanding(1):
	Basic					225,249,543			231,441,018
	Diluted					230,778,271			238,672,614
Cash dividends declared per share(1)					$	.46		$	.40

(1) Restated to reflect the 5% stock dividend issued September 30, 2002.

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CHARTER ONE FINANCIAL, INC.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(unaudited)

					6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
					(Dollars in thousands, except per share data)
				ASSETS
Cash and deposits with banks					$	586,018		$	507,726		$	446,701		$	525,049		$	592,571
Federal funds sold and other						10,514			1,350,513			512			1,105,511			800,509
		Total cash and cash equivalents				596,532			1,858,239			447,213			1,630,560			1,393,080
Investments securities:
	Available for sale					336,126			227,137			210,095			213,684			169,203
	Held to maturity					3,691			4,157			3,973			4,642			4,381
Mortgage-backed securities:
	Available for sale					14,313,397			12,799,506			11,536,608			8,805,687			9,634,674
	Held to maturity					362,768			445,207			540,781			648,153			728,003
Loans and leases, net						25,127,882			24,685,258			25,852,846			25,351,352			24,382,986
Loans held for sale						362,270			291,729			351,892			287,891			161,438
Bank owned life insurance						834,337			837,660			829,043			819,664			814,429
Federal Home Loan Bank and Federal Reserve Bank stock						694,073			679,339			681,923			676,927			668,905
Premises and equipment						375,256			355,084			353,730			348,675			362,909
Accrued interest receivable						153,346			149,989			154,962			155,543			165,262
Real estate and other collateral owned						40,220			42,106			42,980			42,988			44,511
Mortgage servicing rights						115,242			139,085			128,564			126,646			175,650
Goodwill						433,014			386,372			386,372			386,372			385,808
Other assets						386,785			347,735			375,090			351,682			299,303
		Total assets			$	44,134,939		$	43,248,603		$	41,896,072		$	39,850,466		$	39,390,542
				LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
	Checking accounts				$	9,149,326		$	9,652,845		$	9,650,433		$	8,619,130		$	7,737,558
	Money market and savings accounts					8,475,706			8,207,576			8,157,534			8,248,750			8,893,253
	Certificates of deposit					10,314,742			9,523,194			9,719,876			10,218,625			9,926,504
			Total deposits			27,939,774			27,383,615			27,527,843			27,086,505			26,557,315
Federal Home Loan Bank advances						10,582,255			10,446,630			9,037,925			7,574,583			7,841,524
Federal funds purchased and repurchase agreements						51,399			52,496			283,912			54,347			53,089
Other borrowings						706,083			707,591			708,853			710,282			720,133
Advance payments by borrowers for taxes and insurance						58,593			46,706			23,595			47,578			51,822
Accrued interest payable						46,418			72,017			38,372			66,193			38,029
Accrued expenses and other liabilities						1,387,835			1,307,416			1,191,747			1,295,185			1,089,899
			Total liabilities			40,772,357			40,016,471			38,812,247			36,834,673			36,351,811
Shareholders’ equity:
	Preferred stock — $.01 par value per share; 20,000,000 shares authorized and unissued					—			—			—			—			—
	Common stock — $.01 par value per share; 360,000,000 shares authorized; 229,946,762, 227,571,468, 227,571,468, 227,577,813 and 224,853,682 shares issued					2,299			2,276			2,276			2,276			2,249
	Additional paid-in capital					2,270,580			2,197,388			2,193,095			2,192,186			2,104,361
	Retained earnings					1,009,784			908,486			824,564			732,731			976,380
	Less 3,851,660, 2,539,076, 2,781,151, 1,158,700 and 4,662,584 shares of common stock held in treasury at cost					(116,652	)		(74,423	)		(82,610	)		(35,087	)		(135,378	)
	Accumulated other comprehensive income					196,571			198,405			146,500			123,687			91,119
			Total shareholders’ equity			3,362,582			3,232,132			3,083,825			3,015,793			3,038,731
			Total liabilities and shareholders’ equity		$	44,134,939		$	43,248,603		$	41,896,072		$	39,850,466		$	39,390,542

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CHARTER ONE FINANCIAL, INC.
SELECTED STATISTICAL DATA
(unaudited)

		Three Months Ended
		6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
Annualized returns and ratios based on net income:
	Return on average assets		1.50	%		1.38	%		1.40	%		1.46	%		1.51	%
	Return on average equity		19.86			18.48			19.11			18.89			19.85
	Average equity to average assets		7.55			7.46			7.35			7.72			7.60
	Net interest income to administrative expenses		1.52	x		1.63	x		1.69	x		1.69	x		1.77	x
	Administrative expenses to average assets		1.76	%		1.71	%		1.70	%		1.74	%		1.74	%
	Efficiency ratio(1)		41.14			39.77			39.25			39.90			38.53
Annualized return on average tangible equity(2)			22.74			21.29			22.18			21.70			22.84

(1)	Computed as the ratio of total administrative expenses to net interest income and total other income.
(2)	Computed as the ratio of net income, excluding the amortization of other intangible assets, to average tangible equity.

		Six Months Ended
		6/30/03			6/30/02
Annualized returns and ratios based on net income:
	Return on average assets		1.44	%		1.53	%
	Return on average equity		19.17			19.78
	Average equity to average assets		7.51			7.76
	Net interest income to administrative expenses		1.57	x		1.76	x
	Administrative expenses to average assets		1.74	%		1.76	%
	Efficiency ratio(1)		40.46			39.50
Annualized return on average tangible equity(2)			22.02			22.67

(1)	Computed as the ratio of total administrative expenses to net interest income and total other income.
(2)	Computed as the ratio of net income, excluding the amortization of other intangible assets, to average tangible equity.

		6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
End of period capitalization:
	Equity to assets		7.62	%		7.47	%		7.36	%		7.57	%		7.71	%
	Tangible equity to assets		6.56			6.50			6.36			6.52			6.65
	Book value per share(1)	$	14.87		$	14.36		$	13.72		$	13.32		$	13.14
	Tangible book value per share(1)		12.81			12.50			11.86			11.47			11.33
Miscellaneous end-of-period data:
	Number of employees (full-time equivalents)		7,703			7,198			6,997			6,837			6,914
	Number of full-service branches		522			477			461			459			461
	Number of loan production offices		28			26			26			26			27
	Number of ATMs		953			918			913			920			928

(1) Restated to reflect the 5% stock dividend issued September 30, 2002.

COMPOSITION OF DEPOSITS
(unaudited)

					6/30/03		3/31/03		12/31/02		9/30/02		6/30/02
							(Dollars in thousands)
Checking accounts:
	Interest-bearing				$	6,493,279	$	7,267,602	$	7,460,530	$	6,588,045	$	5,917,228
	Noninterest-bearing					2,656,047		2,385,243		2,189,903		2,031,085		1,820,330
		Total checking accounts				9,149,326		9,652,845		9,650,433		8,619,130		7,737,558
Money market and savings accounts						8,475,706		8,207,576		8,157,534		8,248,750		8,893,253
			Total transaction accounts			17,625,032		17,860,421		17,807,967		16,867,880		16,630,811
Certificates of deposit:
	Retail					10,314,742		9,523,194		9,719,876		10,198,753		9,886,732
	Brokered					—		—		—		19,872		39,772
		Total certificates of deposit				10,314,742		9,523,194		9,719,876		10,218,625		9,926,504
				Total deposits	$	27,939,774	$	27,383,615	$	27,527,843	$	27,086,505	$	26,557,315

9

CHARTER ONE FINANCIAL, INC.
AVERAGE BALANCE SHEET, YIELDS AND COSTS
(unaudited)

					Three Months Ended
					6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
					(Dollars in thousands)
Average balance sheet data:
	Interest-earning assets:
		Loans and leases			$	26,101,819		$	25,851,471		$	26,690,752		$	25,460,404		$	24,838,010
		Mortgage-backed securities				14,405,655			13,137,545			11,218,473			10,041,928			10,127,245
		Investment securities				260,634			210,920			212,698			186,249			156,998
		Other interest-earning assets				839,597			762,760			725,937			979,454			1,028,371
			Total interest-earning assets			41,607,705			39,962,696			38,847,860			36,668,035			36,150,624
	Allowance for loan and lease losses					(360,448	)		(327,090	)		(292,981	)		(267,486	)		(257,591	)
	Noninterest-earning assets(1)					3,044,576			3,150,359			2,946,801			2,968,951			2,767,624
				Total assets	$	44,291,833		$	42,785,965		$	41,501,680		$	39,369,500		$	38,660,657
	Interest-bearing liabilities:
		Checking accounts			$	6,951,974		$	7,541,679		$	6,801,571		$	6,283,029		$	5,883,423
		Money market and savings accounts				8,332,278			7,929,274			8,579,110			8,378,267			8,519,541
		Certificates of deposit				9,733,110			9,562,013			9,898,021			9,831,050			10,093,412
			Total interest-bearing deposits			25,017,362			25,032,966			25,278,702			24,492,346			24,496,376
		Federal Home Loan Bank advances				11,397,410			10,410,188			9,026,637			7,944,811			7,878,506
		Other borrowings				874,062			866,495			945,945			929,957			584,882
			Total interest-bearing liabilities			37,288,834			36,309,649			35,251,284			33,367,114			32,959,764
	Noninterest-bearing liabilities:
		Demand deposit accounts				2,308,993			2,017,036			2,024,854			1,789,713			1,743,736
		Other noninterest-bearing liabilities				1,349,173			1,266,385			1,175,213			1,173,108			1,017,623
			Total noninterest-bearing liabilities			3,658,166			3,283,421			3,200,067			2,962,821			2,761,359
				Total liabilities		40,947,000			39,593,070			38,451,351			36,329,935			35,721,123
	Shareholders’ equity					3,344,833			3,192,895			3,050,329			3,039,565			2,939,534
				Total liabilities and shareholders’ equity	$	44,291,833		$	42,785,965		$	41,501,680		$	39,369,500		$	38,660,657
Yields and costs during period:
	Weighted average yield:
		Loans and leases(2)				5.64	%		5.86	%		6.26	%		6.43	%		6.69	%
		Mortgage-backed securities				4.48			4.80			5.06			5.81			6.08
		Investment securities				5.15			5.87			5.70			6.44			6.84
		Other interest-earning assets				3.70			3.87			4.41			3.89			3.65
			Total interest-earning assets			5.19			5.48			5.88			6.19			6.43
	Weighted average cost(3):
		Checking accounts				1.35			1.65			1.92			2.13			2.08
		Money market and savings accounts				1.50			1.55			1.93			2.12			2.37
		Certificates of deposit				2.97			3.09			3.19			3.32			3.53
			Total interest-bearing deposits			2.03			2.17			2.42			2.61			2.78
		Federal Home Loan Bank advances				3.66			3.88			4.64			5.18			5.29
		Other borrowings				6.38			6.10			5.74			5.97			6.74
				Total interest-bearing liabilities		2.63			2.75			3.07			3.31			3.45
	Interest rate spread					2.56			2.73			2.81			2.88			2.98
	Net yield on interest-earning assets					2.84			2.99			3.07			3.17			3.30

(1)	Includes mark-to-market adjustments on securities available for sale.
(2)	Excludes impact of related tax benefits.
(3)	Includes the annualized effect of interest rate risk management instruments.

10

CHARTER ONE FINANCIAL, INC.
AVERAGE BALANCE SHEET, YIELDS AND COSTS
(unaudited)

					Six Months Ended
					6/30/03			6/30/02
					(Dollars in thousands)
Average balance sheet data:
	Interest-earning assets:
		Loans and leases			$	25,977,336		$	25,182,491
		Mortgage-backed securities				13,775,103			9,197,295
		Investment securities				235,914			153,826
		Other interest-earning assets				801,391			937,964
			Total interest-earning assets			40,789,744			35,471,576
	Allowance for loan and lease losses					(343,860	)		(256,464	)
	Noninterest-earning assets(1)					3,097,175			2,371,827
				Total assets	$	43,543,059		$	37,586,939
	Interest-bearing liabilities:
		Checking accounts			$	7,245,197		$	5,959,645
		Money market and savings accounts				8,131,890			7,615,664
		Certificates of deposit				9,648,034			9,935,478
			Total interest-bearing deposits			25,025,121			23,510,787
		Federal Home Loan Bank advances				10,906,526			7,974,697
		Other borrowings				870,299			523,134
			Total interest-bearing liabilities			36,801,946			32,008,618
	Noninterest-bearing liabilities:
		Demand deposit accounts				2,163,822			1,691,166
		Other noninterest-bearing liabilities				1,306,110			971,291
			Total noninterest-bearing liabilities			3,469,932			2,662,457
				Total liabilities		40,271,878			34,671,075
	Shareholders’ equity					3,271,181			2,915,864
				Total liabilities and shareholders’ equity	$	43,543,059		$	37,586,939
Yields and costs during period:
	Weighted average yield:
		Loans and leases(2)				5.75	%		6.71	%
		Mortgage-backed securities				4.63			6.09
		Investment securities				5.47			7.43
		Other interest-earning assets				3.78			3.69
			Total interest-earning assets			5.33			6.47
	Weighted average cost(3):
		Checking accounts				1.50			2.26
		Money market and savings accounts				1.53			2.32
		Certificates of deposit				3.03			3.77
			Total interest-bearing deposits			2.10			2.92
		Federal Home Loan Bank advances				3.76			5.25
		Other borrowings				6.24			6.64
				Total interest-bearing liabilities		2.69			3.56
	Interest rate spread					2.64			2.91
	Net yield on interest-earning assets					2.91			3.28

(1)	Includes mark-to-market adjustments on securities available for sale.
(2)	Excludes impact of related tax benefits.
(3)	Includes the annualized effect of interest rate risk management instruments.

11

CHARTER ONE FINANCIAL, INC.
LOAN AND LEASE ACTIVITY

(unaudited)

					Three Months Ended
					6/30/03		3/31/03			12/31/02		9/30/02		6/30/02
					(Dollars in thousands)
Originations:
Real estate:
	Permanent:
		One-to-four family			$	3,555,968	$	3,095,718		$	3,440,287	$	2,481,022	$	1,974,839
		Multifamily				57,451		51,440			48,281		49,187		23,979
		Commercial				60,226		90,213			62,335		48,601		34,686
			Total permanent loans			3,673,645		3,237,371			3,550,903		2,578,810		2,033,504
	Construction:
		One-to-four family				53,527		35,556			40,674		54,377		40,686
		Multifamily				7,613		19,283			40,408		13,950		—
		Commercial				30,246		10,830			53,469		29,385		15,489
			Total construction loans			91,396		65,669			134,551		97,712		56,175
				Total real estate loans originated		3,765,041		3,303,040			3,685,454		2,676,522		2,089,679
Retail consumer						1,209,221		1,079,290			1,205,611		948,632		938,328
Automobile						1,026,245		981,114			916,539		1,012,926		781,763
Consumer finance						122,839		101,927			100,568		73,931		55,338
Leases						73,946		101,571			200,083		110,428		117,544
Corporate banking						473,677		448,326			451,915		512,600		399,173
			Total loans and leases originated			6,670,969		6,015,268			6,560,170		5,335,039		4,381,825
Acquired through business combinations and purchases						403,324		3,765			4,316		2,637		206,640
Sales and principal reductions:
	Loans sold					885,179		763,051			742,255		527,011		481,161
	Loans exchanged for mortgage-backed securities					2,346,609		3,419,116			1,600,962		809,167		1,539,682
	Principal reductions					3,260,094		3,025,830			3,587,423		2,943,422		2,479,838
			Total sales and principal reductions			6,491,882		7,207,997			5,930,640		4,279,600		4,500,681
				Increase (decrease) before net items	$	582,411	$	(1,188,964	)	$	633,846	$	1,058,076	$	87,784

					Six Months Ended
					6/30/03			6/30/02
					(Dollars in thousands)
Originations:
Real estate:
	Permanent:
		One-to-four family			$	6,651,686		$	4,632,833
		Multifamily				108,891			59,698
		Commercial				150,439			126,774
			Total permanent loans			6,911,016			4,819,305
	Construction:
		One-to-four family				89,093			77,030
		Multifamily				26,896			24,988
		Commercial				41,076			81,723
			Total construction loans			157,065			183,741
				Total real estate loans originated		7,068,081			5,003,046
Retail consumer						2,288,511			1,937,055
Automobile						2,007,359			1,465,808
Consumer finance						224,766			111,421
Leases						175,517			210,585
Corporate banking						922,003			752,813
			Total loans and leases originated			12,686,237			9,480,728
Acquired through business combinations and purchases						407,089			211,355
Sales and principal reductions:
	Loans sold					1,648,230			1,125,258
	Loans exchanged for mortgage-backed securities					5,765,725			4,256,953
	Principal reductions					6,285,924			5,423,231
			Total sales and principal reductions			13,699,879			10,805,442
				Decrease before net items	$	(606,553	)	$	(1,113,359	)

12

CHARTER ONE FINANCIAL, INC.
ALLOWANCE FOR LOAN AND LEASE LOSSES
(unaudited)

					Three Months Ended
					6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
					(Dollars in thousands)
Allowance for loan and lease losses:
	Balance, beginning of period				$	355,926		$	328,017		$	292,800		$	267,155		$	258,605
	Provision for loan and lease losses					35,360			61,471			60,314			47,695			55,277
	Acquired through business combination					4,969			—			—			—			3,184
	Loans and leases charged off:
		One-to-four family				(1,036	)		(670	)		(1,127	)		(643	)		(3,056	)
		Commercial real estate				(253	)		(500	)		(144	)		(290	)		(117	)
		Retail consumer				(2,596	)		(3,478	)		(3,004	)		(2,308	)		(5,530	)
		Automobile				(13,628	)		(16,450	)		(15,941	)		(16,429	)		(29,675	)
		Consumer finance				(3,975	)		(4,537	)		(5,785	)		(5,160	)		(11,628	)
		Leases				(2,095	)		(6,061	)		(88	)		(519	)		(1,801	)
		Corporate banking				(2,652	)		(7,245	)		(5,799	)		(4,776	)		(2,014	)
			Total charge-offs(1)			(26,235	)		(38,941	)		(31,888	)		(30,125	)		(53,821	)
	Recoveries:
		One-to-four family				41			17			42			881			32
		Commercial real estate				61			148			41			488			9
		Retail consumer				548			433			588			484			359
		Automobile				4,561			4,115			3,582			3,574			3,123
		Consumer finance				235			105			191			238			32
		Leases				606			393			1,897			430			—
		Corporate banking				321			168			450			1,980			355
			Total recoveries			6,373			5,379			6,791			8,075			3,910
				Net loan and lease charge-offs(1)		(19,862	)		(33,562	)		(25,097	)		(22,050	)		(49,911	)
	Balance, end of period				$	376,393		$	355,926		$	328,017		$	292,800		$	267,155
	Net charge-offs to average loans and leases (annualized)(1)					.30	%		.52	%		.38	%		.35	%		.80	%

					Six Months Ended
					6/30/03			6/30/02
					(Dollars in thousands)
Allowance for loan and lease losses:
	Balance, beginning of period				$	328,017		$	255,478
	Provision for loan and lease losses					96,831			83,994
	Acquired through business combination					4,969			3,184
	Loans and leases charged off:
		One-to-four family				(1,706	)		(4,032	)
		Commercial real estate				(753	)		(918	)
		Retail consumer				(6,074	)		(7,788	)
		Automobile				(30,078	)		(46,595	)
		Consumer finance				(8,512	)		(15,450	)
		Leases				(8,156	)		(2,261	)
		Corporate banking				(9,897	)		(6,037	)
			Total charge-offs(1)			(65,176	)		(83,081	)
	Recoveries:
		One-to-four family				58			34
		Commercial real estate				209			130
		Retail consumer				981			762
		Automobile				8,676			5,531
		Consumer finance				340			95
		Leases				999			—
		Corporate banking				489			1,028
			Total recoveries			11,752			7,580
				Net loan and lease charge-offs(1)		(53,424	)		(75,501	)
	Balance, end of period				$	376,393		$	267,155
	Net charge-offs to average loans and leases (annualized)(1)					.41	%		.60	%

(1) Includes $27.3 million in net charge-offs recorded in the second quarter of 2002 in conjunction with Charter One’s adoption of a new loan charge-off policy in which consumer loans are charged off based upon delinquency, repossession and in certain cases, at the point of bankruptcy discharge. Previously, Charter One’s policy was to record charge-offs of loans secured by one-to-four family real estate at the point of foreclosure and automobile loans at the point of repossessed collateral disposition. This new policy will neither increase nor decrease ultimate net loan charge-offs. It simply accelerates the timing of the recognition of the loss on these consumer loans. This new policy was implemented prospectively. Management believes the changes to this policy conforms Charter One’s charge-off methodology to that of its commercial banking peers.

13

CHARTER ONE FINANCIAL, INC.
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES
(unaudited)

			Three Months Ended
			6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
			(Dollars in thousands)
Average loans and leases:
	Mortgage		$	11,126,226		$	11,083,170		$	11,659,164		$	11,265,962		$	11,088,463
	Retail consumer			4,329,896			4,510,460			5,264,728			4,969,219			4,827,223
	Automobile			6,088,204			5,763,289			5,447,392			5,035,920			4,740,267
	Consumer finance			1,023,295			995,653			980,524			972,843			1,002,306
	Leases			2,127,384			2,145,022			2,085,474			2,029,779			2,036,604
	Corporate banking			1,406,814			1,353,877			1,253,470			1,186,681			1,143,147
		Total average loans and leases	$	26,101,819		$	25,851,471		$	26,690,752		$	25,460,404		$	24,838,010
Net charge-offs to average loans and leases (annualized)(1):
	Mortgage			.04	%		.04	%		.04	%		(.02	)%		.11	%
	Retail consumer			.19			.27			.18			.15			.43
	Automobile			.60			.86			.91			1.02			2.24
	Consumer finance			1.46			1.78			2.28			2.02			4.63
	Leases			.28			1.06			(.35	)		.02			.35
	Corporate banking			.66			2.09			1.71			.94			.58
		Total		.30			.52			.38			.35			.80

(1) Includes $27.3 million in net charge-offs recorded in the second quarter of 2002 in conjunction with Charter One’s adoption of a new loan charge-off policy in which consumer loans are charged off based upon delinquency, repossession and, in certain cases, at the point of bankruptcy discharge. Previously, Charter One’s policy was to record charge-offs of loans secured by one-to-four family real estate at the point of foreclosure and automobile loans at the point of repossessed collateral disposition. This new policy will neither increase nor decrease ultimate net loan charge-offs. It simply accelerates the timing of the recognition of the loss on these consumer loans. This new policy was implemented prospectively. Management believes the changes to this policy conforms Charter One’s charge-off methodology to that of its commercial banking peers.

LOAN AND LEASE PORTFOLIO
(unaudited)

					6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
					(Dollars in thousands)
Loan and lease portfolio, net(1):
	One-to-four family:
			Permanent:
				Fixed rate	$	5,411,639		$	5,506,314		$	5,869,554		$	5,942,919		$	5,556,239
				Adjustable rate		2,577,778			2,546,426			2,437,166			2,694,956			2,584,413
			Construction			418,485			412,973			427,729			427,871			414,716
						8,407,902			8,465,713			8,734,449			9,065,746			8,555,368
	Commercial real estate:
		Multifamily				942,689			920,295			953,688			1,017,393			1,036,049
		Commercial				1,481,178			1,340,272			1,307,593			1,313,243			1,321,438
						2,423,867			2,260,567			2,261,281			2,330,636			2,357,487
	Consumer:
		Retail				4,180,702			4,173,080			5,494,453			5,008,393			4,855,164
		Automobile				6,247,964			5,934,502			5,606,329			5,281,731			4,826,370
		Consumer finance				1,038,517			1,005,077			984,772			973,981			976,446
						11,467,183			11,112,659			12,085,554			11,264,105			10,657,980
	Business:
		Leases				2,104,713			2,125,905			2,133,468			2,028,687			2,026,955
		Corporate banking				1,462,880			1,368,069			1,318,003			1,242,869			1,213,789
						3,567,593			3,493,974			3,451,471			3,271,556			3,240,744
	Loans and leases before allowance for loan and lease losses					25,866,545			25,332,913			26,532,755			25,932,043			24,811,579
	Allowance for loan and lease losses					(376,393	)		(355,926	)		(328,017	)		(292,800	)		(267,155	)
		Loans and leases, net(1)			$	25,490,152		$	24,976,987		$	26,204,738		$	25,639,243		$	24,544,424
Portfolio of loans serviced for others					$	19,244,092		$	18,713,649		$	16,893,609		$	16,840,025		$	16,889,298

(1) Includes loans held for sale.

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CHARTER ONE FINANCIAL, INC.
NONPERFORMING AND UNDERPERFORMING ASSETS
(unaudited)

					6/30/03			3/31/03			12/31/02			9/30/02			6/30/02
					(Dollars in thousands)
Nonperforming assets(1):
	Nonaccrual loans and leases:
		Real estate mortgage loans:
			One-to-four family(2)		$	25,723		$	27,867		$	27,904		$	31,528		$	34,641
			Multifamily and commercial			16,764			5,591			5,369			6,621			4,640
			Construction and land			27,483			8,015			9,885			10,598			11,273
				Total real estate mortgage loans		69,970			41,473			43,158			48,747			50,554
		Retail consumer(2)				10,652			12,046			13,937			14,128			12,092
		Automobile				—			—			—			—			—
		Consumer finance(2)				43,175			42,562			40,227			38,403			40,313
		Leases				6,877			15,264			6,211			7,964			8,958
		Corporate banking				35,595			42,068			39,098			37,230			19,807
				Total nonaccrual loans and leases		166,269			153,413			142,631			146,472			131,724
	Restructured real estate mortgage loans					488			494			501			1,149			1,159
				Total nonperforming loans and leases		166,757			153,907			143,132			147,621			132,883
	Real estate and other collateral owned(3)					39,278			40,020			40,776			40,270			40,186
				Total nonperforming assets	$	206,035		$	193,927		$	183,908		$	187,891		$	173,069
Ratio of:
	Nonperforming loans and leases to total loans and leases					.65	%		.62	%		.55	%		.58	%		.54	%
	Nonperforming assets to total assets					.47			.45			.44			.47			.44
	Nonperforming assets to total loans, leases and real estate and other collateral owned					.81			.78			.70			.73			.70
	Allowance for loan and lease losses to:
		Nonperforming loans and leases				225.71			231.26			229.17			198.35			201.05
		Total loans and leases before allowance				1.46			1.40			1.24			1.13			1.08
Accruing loans and leases delinquent more than 90 days(1):
	Real estate mortgage loans:
		One-to-four family			$	18,056		$	23,507		$	25,643		$	24,854		$	21,781
		Multifamily and commercial				396			—			—			—			944
		Construction and land				—			—			—			—			—
			Total real estate mortgage loans			18,452			23,507			25,643			24,854			22,725
	Retail consumer					3,056			3,229			4,758			5,630			4,362
	Automobile					2,254			3,579			3,621			2,595			2,211
	Consumer finance					21,172			27,395			26,739			25,269			19,470
	Leases					—			181			19			—			219
	Corporate banking					117			471			1,536			1,955			3,330
			Total accruing loans and leases delinquent more than 90 days		$	45,051		$	58,362		$	62,316		$	60,303		$	52,317
Total underperforming assets					$	251,086		$	252,289		$	246,224		$	248,194		$	225,386
Ratio of:
	Underperforming assets to total assets					.57	%		.58	%		.59	%		.62	%		.57	%
	Underperforming assets to total loans, leases and real estate and other collateral owned					.98			1.01			.94			.97			.92

(1)	Effective June 30, 2002, amounts exclude loans guaranteed by the Federal Housing Administration or Veterans’ Administration.
(2)	Effective June 30, 2002, Charter One adopted a new accrual policy in which consumer loans secured by residential real estate are placed on nonaccrual at six payments past due as long as the loan is well secured and in the process of collection. This new policy was implemented prospectively. The change in the accrual policy did not have a material impact on interest income. Management believes the changes to this policy conforms Charter One’s accrual methodology to that of its commercial banking peers.
(3)	Effective for the period ended June 30, 2002, Charter One adopted a new loan charge-off policy in which automobile loans are charged off based upon repossession and, in certain cases, at the point of bankruptcy discharge. Any automobile loan reaching 120 days delinquent will be charged off completely. Previously, Charter One’s policy was to record charge-offs of loans secured by automobiles at the point of repossessed collateral disposition. This new policy was implemented prospectively. Management believes the changes to this policy conforms Charter One’s charge-off methodology to that of its commercial banking peers.

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