Ahli United Bank Adopts Equator Principles

Bahrain, 1 May 2011

Ahli United Bank (AUB) has adopted the Equator Principles, a globally-recognized benchmark for managing social and environmental risks in Project Finance. AUB will apply the principles to Project Finance activities in all sectors with capital costs of US$10 million or above, in accordance with the Equator Principles declaration.

The Equator Principles are based on the International Finance Corporation (IFC) performance standards on social and environmental sustainability, and on the World Bank Group’s Environmental, Health and Safety general guidelines. The Equator Principles promote socially responsible conduct and sound environmental practices in relation to the Project Finance initiatives. The benchmark seeks to provide a framework against which lending can be assessed, applying to all new Project Finance arrangements above US$10million.

AUB is a major Project Finance player in the Middle East North Africa region. AUB has already put in place IFC’s Social and Environmental Management System (SEMS). The adoption of Equator Principles is in line with AUB’s existing risk framework and corporate ethos & culture of being socially responsible bank. The official adoption of Equator Principles further demonstrates the bank’s commitment to socially responsible lending practices.

About Ahli United Bank:

Ahli United Bank BSC (AUB) is a full fledged commercial and investment banking group providing retail, corporate, treasury, wealth management, offshore and private banking services. The Group's businesses operate currently through a branch network of 130 branches in Bahrain, and through its subsidiaries in the UK, Kuwait, Egypt, and Iraq and through its managed associates in Qatar, Oman, and Libya. AUB UK is a fully owned (100%) subsidiary of AUB. In Egypt, AUB holds an 85.1% stake in Ahli United Bank (Egypt) SAE while in Kuwait, AUB has 74.9% shareholding in Ahli United Bank Kuwait. In Iraq, AUB has a 56.1% shareholding in Commercial Bank of Iraq. In Qatar, AUB has a 33.3% stake in Ahli Bank QSC. In Oman, AUB has a 35% stake in Ahli Bank SAOG and 40% in United Bank for Commerce and Investment in Libya. Apart from these banks, AUB has an effective shareholding of 62.5%% in KMEFIC, a brokerage, asset management and corporate finance company based in Kuwait with operations around the Arabian Gulf. AUB also has 50% stake in a joint venture with Legal & General incorporated in 2009 to form Legal and General (Gulf) BSC(c) with its Sharia compliant Takaful subsidiary – Legal and General (Gulf) Takaful B.S.C. (c).