NOTE 10 - ALLOWANCE FOR LOAN AND LEASE LOSSES

The table below summarizes the changes in the allowance for loan and lease losses:

	12/31/2010			12/31/2009			12/31/2008
Balance at the beginning of the period		19,968			12,202			7,473
Provision for loan and lease losses		11,871			15,372			9,361
Credits charged off		(16,158	)		(9,490	)		(5,904	)
Recoveries		4,457			1,884			1,272
Balance at the end of the period		20,138			19,968			12,202

The following table presents the finance receivables balances by segment and by classes and its related allowance for losses, including the break down of the loans by the method of calculating the impairment (individually and collectively):

	12/31/2010
	Impaired (*)				Not Impaired				Total
	Loan		Allowance		Loan		Allowance		Loan		Allowance
I - Individually evaluated for impairment:

Corporate		884		454		75,700		617		76,584		1,071

II- Collectivelly evaluated for impairment:

Individuals		8,464		5,071		120,025		6,072		128,489		11,143
Credit Card		2,743		1,667		33,454		2,137		36,197		3,804
Personal Loans		2,241		1,403		21,777		2,115		24,018		3,518
Vehicles		3,315		1,938		56,939		1,771		60,254		3,709
Mortgage Loans		165		63		7,855		49		8,020		112

Small and Medium Businesses		4,857		3,412		74,757		4,293		79,614		7,705

Foreign Loans Latin America		51		35		13,431		184		13,482		219

Total		14,256		8,972		283,913		11,166		298,169		20,138

(*) During 2010 no loans were purchased by Itaú Unibanco with deterioration in the financial position and no amounts are outstanding as of December 31, 2010 from acquisitions in prior years.