Ahli United Bank No Comments

AHLI UNITED BANK REPORTS A 53.4% INCREASE IN NET PROFIT TO US$130.4 MILLION FOR THE PERIOD ENDED 30 SEPTEMBER 2005

Ahli United Bank B.S.C. (AUB) has announced a net profit of US$130.4 million for the first nine months of 2005, an increase of 53.4 percent over the same period in 2004 (US$85.0 million).

Net interest and other income to 30 September 2005 was US$237.4 million (YTD 2004– US$171.6 million), an increase of 38.3 percent, with a cost-to-income ratio of 31.7 percent (YTD 2004 – 36.4 percent). Basic earnings per ordinary share were US cents 4.72, compared to US cents 3.27 in the corresponding period last year. Dilutive earnings per ordinary share, adjusted for the impact of the convertible preference share issue, was US cents 4.21 against US cents 3.27 in the corresponding period last year.

As of 30 September 2005, AUB’s total assets stood at US$ 13.9 billion on an enhanced regulatory capital base of US$1246 million including US$443 million of net proceeds raised by issuing 1,000 million Class A preference shares effective 1 January 2005. The resultant consolidated risk asset ratio stood at 13.8 percent above the minimum regulatory requirements set by the Bahrain Monetary Agency.

“The Bank has once again achieved excellent results. For the third quarter of 2005, we had excellent results across all the Bank’s activities, as well as additional growth momentum gained through the increased stake acquired from Bank of Kuwait and the Middle East (BKME) to complement our very successful operations in Bahrain and Qatar” said Fahad Al-Rajaan, Chairman of Ahli United Bank B.S.C.

“The completion of the BKME acquisition, through attainment of a voting stake of c.75% effective 8 August 2005, was an important milestone in Ahli United Bank’s strategy to become a major regional bank in the Gulf by securing a significant presence in Kuwait.”