30 December 2003 - Doha Bank and United Gulf Bank Form an Alliance

United Gulf Bank (UGB) of Bahrain, the investment banking arm and subsidiary of Kuwait Projects Company (KIPCO) and Doha Bank of Qatar have announced the formation of an alliance for UGB and its subsidiary, KIPCO Asset Management (KAMCO), to provide Doha Bank with technical services in corporate finance, project finance and asset management.

William Khouri, UGB Chief Executive Officer, said: "This alliance is a strategic regional move for UGB and an opportunity to become closely involved in the growth and opportunities of the Qatari market with a leading bank. We are confident that our experience and expertise will form the basis for a mutually rewarding alliance."

Salah M. Jaidah General Manager of Doha Bank, said, "The signing represents a major step towards enhancement of our investment banking resources, and in expanding services to the Qatari market and the bank’s customers."

The Qatari economy has been expanding at a rapid rate, as reflected by the recent rise in the stock market (CBQ Index) of 74 per cent in 2003 through December 19, 2003. The alliance with UGB positions Doha Bank to capitalise on new opportunities as they emerge.

UGB’s assets exceed US$1.1 billion, with main activities consisting of private equity and fund investments, quoted equities, asset management, corporate finance, real estate, treasury and selective commercial banking services. UGB recently raised a US$60 million 3-5 year bond issue from the Kuwait market, reflecting the significant increase in UGB’s earnings trend, as well as the issue’s investment grade (BBB) rating. UGB’s primary subsidiaries are: KAMCO of Kuwait; Tunis International Bank, Tunisia; UGB Securities Co., Bahrain; and Algeria Gulf Bank (under formation) Algeria. UGB also has equity interests of 44 per cent in Jordan Kuwait Bank, Jordan; 34 per cent in United Real Estate Company, Kuwait; and 49 per cent in United Industries Company, Kuwait. In addition, recent awards of mobile telecom contracts in northern Iraq to a joint venture in which UGB has equity stakes, will broaden further its earnings base.

KAMCO is a 66 per cent owned subsidiary of UGB and has US$4.1 billion in Assets under Management. Recently KAMCO shares were listed on the Kuwait Stock Exchange. Masoud Hayat, Chairman of KAMCO and Managing Director of UGB said: "We are pleased to be working with Doha Bank, one of the region’s leading banks, and look forward to adding value to the Qatari market."

KIPCO, with assets of more than US$ 10 billion under management or control, is one of the leading diversified holding companies in the Middle East and North Africa and a major regional force in financial services and media & technology, with further interests in real estate and industry. KIPCO, the largest private company in Kuwait, employs 10,000 people internationally and its shares are listed on the Kuwait Stock Exchange.

Doha Bank is a leading bank in the State of Qatar with total Assets of USD 2.1 billion and Equity of USD 225 million. With the largest customer base in Qatar, it provides a wide range of banking services, which include Corporate & Commercial Banking, Retail Banking, Treasury & Investment Banking and International Banking. It has a network of 15 domestic branches and has 62 ATMs throughout Qatar. Besides, Doha Bank is the only Qatari Bank, which has a presence in New York- USA. Doha Bank has been very active in Corporate Finance, Project finance and Syndications. It has taken leading roles in financing some of the projects in Qatar and in the region.

The Performance of the bank has been excellent in recent years. The profit of the bank increased by 71% last year. Similarly total Assets and Deposits grew by 14%. Resultantly, the Bank was upgraded by Moody’s to A3 last year and by Capital Intelligence to BBB this year. The bank was also awarded The Banker magazine’s prestigious "Bank of the Year 2003".

For further information please contact United Gulf Bank on telephone +973 17533233 or email info@ugbbah.com Or Doha Bank on telephone +968-445-6600 or web site: www.dohabank.com.qa.