NOVEMBER 2007

KUWAIT MONTHLY ECONOMIC BRIEF

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FINANCIAL MARKET DEVELOPMENTS

STOCK MARKET SNAPSHOT Table 1.2 KSE Sectoral Indices: Volatility vs. Risk YTD ∆ Beta Alpha During the month of November the value of completed deals on the Banking Sector 38.70% 0.894 0.0007 Kuwaiti Stock Exchange (KSE) stood at KD 2,477 million, down by 24.42% month-on-month. The number of transactions executed stood at 153,182 Investments Sector 24.26% 1.275 -0.00003 deals, leading to an average value per deal of KD 16,172. The November Insurance Sector 4.39% 0.292 -0.0000 level constituted a monthly drop of 6.29%. Real Estate Sector 14.01% 1.183 -0.0004 Between January and November 2007, the total number of transactions Industrial Sector 21.33% 1.025 0.00002 executed stood at 2.04 million. Trade volume stood at 65,288 million Services Sector 7.56% 0.832 -0.0004 shares, with total trading value rising to KD 34,553 million by month Food Sector 57.09% 0.812 0.0014 end. The investments sector ranked first in terms of the volume of trades executed, followed by the services and real estate sectors at 29.40%, Non-Kuwaiti 30.37% 0.682 0.0006 25.62% and 20.29% respectively. In terms of value, the services sector Source: Univest Research continued to rank first at 29.41% of outstanding total. KUWAIT STOCK INDEX Table 1.1 KSE Trading Activity Breakdown Transactions Volume Value By the end of November 2007, Kuwaiti Stock Exchange Index stood at , 12,052.00, down from the previous month s close level of 12,767.00. The Banking Sector 7.22% 6.47% 14.68% November level constituted an increase of 20.55% since the beginning Investments Sector 29.40% 32.20% 25.50% of the year.

Insurance Sector 0.13% 0.13% 0.13% Chart 1.1 KSE Value Index Real Estate Sector 20.29% 26.98% 13.46% 135 01/01/2007 - 11/30/2007 High: 13,175.20 (10/21/2007) Closing: 12,052.00 (11/29/2007) Low: 9,584.50 ( 10/02/2007) Industrial Sector 9.33% 7.08% 10.54% 130

125 Services Sector 25.62% 18.30% 29.41% 120 Food Sector 1.68% 1.44% 1.23% 115 Non-Kuwaiti 6.33% 7.41% 5.04% 110 Source: Kuwait Stock Exchange 105

The food sector led the market in terms of growth, with its index recording 100 a ten-month increase of 57.09%. The sector’s Beta – a measure of the 95 KSE sector’s returns sensitivity to changes in the returns of the broad market 25 per. Mov. Avg. (KSE) stood at 0.812 by the end of November, dropping from the October level 90 of 0.846. The sector’s residual risk – Alpha – stood at 0.0014. 85

Source: Univest Research The banking sector ranked second, with its value index standing at 138.70 points by the end of November. Univest conducted a study that analyzed By the end of November 2007, the weighted index dropped slightly from the ’increase pattern’ in the sector’s index over a five-year period relative the October level of 737.93 points to 690.75 points. to that recorded on the share price level of securities listed under the sector, concluding that the increase recorded on the index level has BANKING SECTOR surpassed any upward movement recorded on the share price level of relevant securities; hinting to a flaw in the ’divisor’ employed to calculate By end-November, the banking sector’s index stood at 13,901.00 points, the index following the listing of Boubyan Bank on the exchange. down by 4.10% month-on-month. The November level, however, constituted an increase of 39.04% since the beginning of the year. Between 2002 and 2007, while the banking sector’s value index increased to reach 577.19 points, that of securities comprising the biggest market Between January and November 2007, the total value of trades executed capitalization namely Kuwait Finance House (KFIN.KSE), National Bank of in the sector stood at KD 5,072 million; representing around 14.68% of Kuwait (NBK.KSE) and Gulf Bank of Kuwait (GBK.KSE) stood at 321.74, 220.62 outstanding total. and 289.23 respectively. The average value per deal in the banking sector stood at KD 34,485; The investment sector continued to exhibit more volatility than the rest with NBK recording the highest value in this category at an average of of the market recording the highest beta at 1.275, down from the October KD 58,764 per transaction. figure of 1.277. The investment sector also recorded a negative alpha, in a clear indication to its continual failure to perform on par with other sectors in KSE.

Page 1 FINANCIAL MARKET DEVELOPMENTS Kuwait Monthly Economic Brief - November 2007

Chart 1.2 Banking Sector Value Index Chart 1.3 Investment Sector Value Index

01/01/2007 - 11/30/2007 High: 15,128.40 (01/16/2007) 01/01/2007 - 11/30/2007 High: 17,251.80 (10/21/2007) 150 Closing: 13,901.00 (11/29/2007) Low: 9,942.20 ( 09/18/2007) 140 Closing: 15,373.60 (11/29/2007) Low: 11,867.80 ( 02/11/2007)

135 140 130

130 125

120 120

115 110 110 KSE INV 100 105 25 per. Mov. Avg. (INV)

KSE 100 90 BANKS 25 per. Mov. Avg. (BANKS) 95

80 Source: Univest Research Source: Univest Research

KFIN, NBK and Boubyan Bank (BOUBYAN.KSE) continued to lead the The average value per deal in the investments sector stood at KD 14,270; trading activity in the sector; combined these banks accounted for with Kuwait Projects Company (KPROJ.KSE) recording the highest value 59.88% of total banking sector trading activity since the beginning of the in this category at an average of KD 38,268; lower by 0.44% from the , year; the equivalent of KD 3,037 million in absolute terms. company s record in October. , Table 1.3 Banking Sector s Top Five: Ranked by Value In terms of value of transactions executed, the top three companies in Deals Volume Value this category continued to be KPROJ, Al Madina Finance & Investments (ALMADINA.KSE) and National Investments Company (NINV.KSE) at 11.76%, Kuwait Finance House 20.80% 11.00% 23.32% 8.29% and 6.09% respectively. National Bank of Kuwait 11.80% 10.87% 20.10% , Table 1.5 Investment Sector s Top Five: Ranked by Value Boubyan Bank K.S.C. 31.04% 30.68% 16.46% Deals Volume Value Burgan Bank 10.26% 18.42% 14.57% Kuwait Projects Co 4.52% 6.36% 11.76% Commercial Bank of Kuwait 9.13% 9.24% 10.45% Al Madina Finance & Investment 6.87% 6.06% 8.29% Source: Kuwait Stock Exchange National Investments Co 3.19% 3.00% 6.09%

Most listed securities in this category recorded a drop in their share Noor Financial Investment Co 4.97% 4.33% 5.47% prices, with the steepest drops recorded by KFIN, Gulf Bank of Kuwait Ektitab Holding 6.12% 7.67% 5.26% (GBK.KSE) and NBK at -9.46%, -6.38% and -5.61% respectively. Source: Kuwait Stock Exchange BOUBYAN, Burgan Bank (BURG.KSE) and NBK continued to record the highest volatility levels with a beta of 1.23, 1.22 and 1.00 respectively. On a month-to-month basis, most investment companies continued In terms of risk-adjusted return, GBK, Commercial Bank of Kuwait (CBK. to record negative share price changes. The companies that recorded KSE) and BURG underperformed, failing to keep up with the rest of the the highest share price increase on between October and November market. were Burgan Group (BURGGRP.KSE), National International Holding (NIH. KSE) and Al Safat Investment (ALSAFAT.KSE) at 12.00%, 8.47% and 5.08% Table 1.4 Banks: Volatility vs. Risk respectively. Beta Alpha The companies that exhibited the highest volatility in the sector YTD National Bank of Kuwait 1.003 0.0007 were: Coast Investment & Development (COAST.KSE) followed by Coast Gulf Bank of Kuwait 0.930 -0.0010 Investment & Development Company (NOOR.KSE) and Al-Mal Investment Commercial Bank of Kuwait 0.824 -0.0007 Company (ALMAL.KSE) with their corresponding betas standings at 2.44, 2.28 and 2.26 by the end of November Al-Ahli Bank 0.488 0.0007 Bank of Kuwait & Middle East 0.757 0.0017 Table 1.6 Investment Companies: Volatility vs. Risk Kuwait International Bank 0.652 0.0006 Beta Alpha

Burgan Bank 1.220 -0.0003 Kuwait Investment Co 1.006 -0.0013 Boubyan Bank K.S.C. 1.225 0.0006 Commercial Facilities Co 0.422 -0.0006 Source: Univest Research International Financial Advisors 1.959 -0.0006

INVESTMENT SECTOR National Investments Co 1.229 -0.0009 , By end-November, the investments sector s index stood at 15,373.60, Kuwait Projects Co 1.204 0.0016 down by 6.45% month-on-month. Over the course of the first 11 months Al-Ahlia Holding 1.239 -0.0004 of the year, the total value of trades executed in the sector stood at KD 8,812 million, up by KD 337 million in absolute terms from the October Coast Investment & Development 2.440 0.0021 level. Page 2 FINANCIAL MARKET DEVELOPMENTS Kuwait Monthly Economic Brief - November 2007

Insurance Sector Value Index Beta Alpha Chart 1.4 135 01/01/2007 - 11/30/2007 High: 3,236.40 (11/20/2007) The International Investor 1.012 -0.0017 Closing: 3,132.70 (11/29/2007) Low: 2,794.90 ( 02/27/2007) 130 The Securities House 0.463 -0.0002 125

Industrial & Financial Investments 0.937 -0.0017 120

Securities Group Co 1.796 0.0015 115

International Finance Co 1.363 0.0015 110 105 Kuwait Financial Center 1.483 0.0007 100 Kuwait & Middle East Financial Investment -0.185 -0.0002 95 1.750 -0.0035 International Investment Group 90 KSE Insurance AREF Investment Group 1.318 -0.0012 25 per. Mov. Avg. (Insurance) Source: Univest Research The Investment Dar 0.766 -0.0014

Al Aman Investment Co 1.517 0.0004 KD 29,192 per deal. GINS continued to be the most active security in this category, accounting 1.094 -0.0011 First Investment Co for 43.05% of transactions and 70.85% of trade value. Al-Mal Investment Co 2.264 -0.0030 GINS, Warba Insurance Company (WINS.KSE) and Kuwait Insurance Gulf Investment House 1.171 -0.0017 Company (KINS.KSE) continued to lead the trading activity in the sector; Aayan Leasing & Investment 1.340 -0.0010 combined these companies accounted for 87.69% of total trading activity in the sector YTD; the equivalent of KD 40.54 million in absolute Bayan Investment Co 1.959 -0.0017 terms. Global Investment House 0.730 -0.0011 , Table 1.7 Insurance Sector s Top Five: Ranked by Value Osoul Leasing & Finance 1.057 -0.0013 Deals Volume Value Gulf Invest International 0.644 0.00002 Gulf Insurance Co 43.05% 59.01% 70.85% Kuwait Finance & Investment 0.875 -0.0033 Warba Insurance Co 17.77% 12.84% 9.07% KIPCO Asset Management 0.780 0.0012 Kuwait Insurance Co 16.04% 8.11% 7.77% International Leasing & Investment Co 1.005 -0.0020 Al Ahleia Insurance Co 12.24% 4.67% 5.35% Kuwait Invest Holding 0.492 -0.0001 Kuwait Reinsurance Co 3.99% 7.92% 3.78% National International Holding -0.324 0.0007 Source: Kuwait Stock Exchange Housing Finance Co 0.807 0.0012 , WINS, continued to exceed the sector s volatility indicator that stood at Al Madar Finance & Investment 1.463 -0.0025 0.292 at the end of November; while First Takaful Insurance Company (FTI. Al Deera Holding 0.470 -0.0004 KSE) and Wethaq Takaful Insurance Co (WETHAQ.KSE) recorded a negative Al Safat Investment 2.051 0.0017 beta of -0.595 and -0.007 respectively; thus, indicating to an inverse relationship with the movement of the market. Burgan Group 0.127 0.0046 Ektitab Holding 1.563 0.0016 Table 1.8 Insurance Companies: Volatility vs. Risk Iraq Holding 0.909 -0.0008 Beta Alpha 0.982 -0.0030 Soukouk Holding Kuwait Insurance Co 0.329 -0.0004 Al Madina Finance & Investment 1.654 0.0024 Gulf Insurance Co 0.170 0.0018 Noor Financial Investment Co 2.279 -0.0010 Al Ahleia Insurance Co 0.017 -0.0009 Tamdeen Investment Co 1.976 0.00023 Warba Insurance Co 0.643 -0.0012 Kuwait Bahrain International Exchange 0.969 -0.0005 Source: Univest Research Kuwait Reinsurance Co 0.163 -0.0000 First Takaful Insurance Co -0.595 0.0008 INSURANCE SECTOR Wethaq Takaful Insurance Co -0.007 -0.0004 , The insurance sector s index closed at 3,132.70 points, dropping by Source: Univest Research 1.64% from the October level. Most of the companies in the insurance sector failed to keep up with The total value of trades executed in the insurance sector stood at market in terms of adjusted-risk return, with the exception of GINS KD 79.30 million; representing around 0.13% of total executed in the that continued to record a positive alpha, albeit a continual declining exchange since the beginning of the year. tendency.

The average value per deal in the insurance sector stood at KD 17,740 down by 1.35% on a month-to-month basis. Gulf Insurance Company (GINS.KSE) recording the highest value in this category at an average of Page 3 FINANCIAL MARKET DEVELOPMENTS Kuwait Monthly Economic Brief - November 2007

REAL ESTATE SECTOR Beta Alpha , , The real estate sector s index closed at 5,719.20 points by the end of Int l Investments Projects 2.536 -0.0008 November, marking a drop of 6.23% month-on-month and an increase Ajial Real Estate Entertainment 0.674 0.0008 of 14.01% YTD. Al Maseelah Real Estate 0.955 -0.0001

Chart 1.5 Real Estate Sector Value Index Arab Real Estate Co 1.510 -0.0009 135 01/01/2007 - 11/30/2007 High: 6,521.70 (08/28/2007) Closing: 5,719.20 (11/29/2007) Low: 4,594.30 ( 02/10/2007) Union Real Estate Co 0.169 -0.0009 130 Al-Enma>a Real Estate Co 0.778 0.0005 125 1.573 -0.0010 120 Mabanee Co

115 Injazzat Real Estate Co 1.228 0.0010

110 Jeezan Holding 2.354 0.0000

105 Grand RE & Touristic Development 1.270 0.0004

100 International Resorts Co 2.183 -0.0023

95 KSE Real Estate The Commercial Real Estate Co 0.560 0.0008

90 25 per. Mov. Avg. (Real Estate) Sanam Real Estate Co 0.862 -0.0008 85 Aayan Real Estate Co 1.087 -0.0000 Source: Univest Research Aqar Real Estate Co 1.406 -0.0007

Total transactions executed over the course of the first eleven months of Kuwait Real Estate Holding Co 0.560 -0.0006 the year amounted to 413,104 valued at around KD 4,562 million. The average value per deal stood at KD 11,261. Al-Mazaya Holding Co 1.087 0.0006 Al Dar National Real Estate Co 0.434 -0.0012 The highest average value per deal was recorded by Commercial Real Al-Themar International Holding 0.893 -0.0009 Estate Company (ALTIJARIA.KSE), Mabanee Company (MABANEE.KSE) and Abyaar Real Estate Development Company (ABYAAR.KSE) at KD 23,918, KD Grand Real Estate Projects 1.312 0.0002 18,678 and KD 15,712 respectively. Tijara& Real Estate Investment 0.750 -0.0029

International Investments Projects (IIPC.KSE), Kuwait Real Estate Company Tameer real estate investment 1.413 -0.0016 (KRE.KSE) and National Real Estate Company (NRE.KSE) dominated the trading activity in the sector, accounting for 35.76% of total value of Arkan Al-Kuwait Real Estate Co 0.585 -0.0010 trade and 31.38% of the number of deals executed. Source: Univest Research , Table 1.9 Real Estate Sector s Top Five: Ranked by Value Deals Volume Value The companies that exhibited the highest volatility in the sector YTD were: IIPC, followed by Jeezan Holding (JEEZAN.KSE) and International International Investments Projects 13.88% 15.45% 14.53% Resorts Company (IRC.KSE) with their corresponding betas standing at Kuwait Real Estate Co 10.35% 13.97% 11.74% 2.536, 2.354 and 2.183.

National Real Estate Company 7.15% 3.75% 9.49%

INDUSTRIAL SECTOR, Jeezan Holding 8.08% 6.19% 8.22% The industrial sector s index closed at 8,012.30 points by the end of November, marking a drop of 6.10% over the October level. YTD, the 7.69% 4.40% 6.39% Grand Real Estate Projects industrial index recorded an increase of 21.33%. Source: Kuwait Stock Exchange Chart 1.6 Industrial Sector Value Index , Although the real estate sector s volatility indicator beta dropped by 135 1.39% between October and November reaching 1.183; the sector 01/01/2007 - 11/30/2007 High: 8,674.10 (10/25/2007) Closing: 8,012.30 (11/29/2007) Low: 6,248.00 ( 02/10/2007) continues to exhibit more volatility than other sectors in the market. 130

125 Table 1.10 Real Estate Companies: Volatility vs. Risk 120 Beta Alpha 115 Kuwait Real Estate Co 2.123 -0.0004 110 United Real Estate Co 0.974 0.0003 105 National Real Estate Co 1.820 -0.0021 KSE 100 Industrial 25 per. Mov. Avg. (Industrial) Salhia Real Estate Co 0.507 -0.0019 95 1.000 -0.0001 Pearl Of Kuwait Real Estate Co 90 Tamdeen Real Estate Co 1.651 0.0005 Source: Univest Research

Page 4 FINANCIAL MARKET DEVELOPMENTS Kuwait Monthly Economic Brief - November 2007

The total value of trades executed in the industrial sector stood at KD Beta Alpha 3,642 million; representing around 10.54% of total executed in the exchange since the beginning of the year. Equipment Holding Co 1.4216 -0.0005 Global Holding Group 0.2028 0.0009 The average value per deal in the insurance sector stood at KD 19,172; with National Industries Group (NIND.KSE) recording the highest value in National Co for Consumer Industries -0.0807 0.0000 this category at an average of KD 39,572 per deal, followed by Boubyan Source: Univest Research Petrochemical Company (BPCC.KSE) and Gulf Cable & Electrical Industries Company (CABLE.KSE) at KD 31,067 and KD 21,133 respectively. Gulf Glass Manufacturing Company (GGMC.KSE), National Company for Consumer Industries (NCCI.KSE) and Al-Kout Industrial Projects Company National Industries Group (NIND.KSE), Boubyan Petrochemical Company (ALKOUT.KSE) continued to record negative betas in November. (BPCC.KSE) and Qurain Petrochemical Industries (ALQURAIN.KSE) dominated the trading activity in the sector, accounting for 67.87% of total value SERVICES SECTOR , of trade and 45.78% of the number of transactions. By end-November, the services sector s index closed at 20,110.50, down , , from the previous month s close of 21,597.00 points. YTD, the November Table 1.11 Industrial Sector s Top Five: Ranked by Value level marked an increase of 7.56% Deals Volume Value Chart 1.7 Services Sector Value Index National Industries Group 20.78% 23.22% 42.89% 135 01/01/2007 - 11/30/2007 High: 22,457.20 (10/24/2007) Closing: 20,110.50 (11/29/2007) Low: 18,152.30 ( 01/24/2007) Boubyan Petrochemical Co 8.82% 11.49% 14.29% 130

Qurain Petrochemical Industries 16.18% 18.37% 10.69% 125

United Industries Co 11.92% 14.09% 6.63% 120

115 Kuwait Pipes Ind. & Oil Services 11.42% 9.14% 6.07% 110 Source: Kuwait Stock Exchange 105

Heavy Engineering & Shipbuilding Company (SHIP.KSE), Kuwait Pipes 100

Industries & Oil Services Company (PIPE.KSE) and Kuwait Portland Cement 95 KSE Company (PCEM.KSE) recorded a higher beta than that recorded by Services 90 25 per. Mov. Avg. (Services) the industrial sector in general, corresponding to 1.025 at the end of November. Source: Univest Research

Table 1.12 Industrial Companies: Volatility vs. Risk The total value of trades executed in the services sector stood at KD 10,162 million; representing around 29.41% of total executed in the Beta Alpha exchange since the beginning of the year. The average value per deal in National Industries Group 1.8192 -0.0004 the insurance sector stood at KD 22,894; with Mobile Telecommunication Company (ZAIN.KSE) recording the highest value in this category at an Kuwait Pipes Industries & Oil Services 1.9295 0.0006 average of KD 57,251 per deal, followed by Advanced Technologies Kuwait Cement Co 0.7423 -0.0001 Company (ATC.KSE) at KD 48,969.

Refrigeration Industries Co 0.7507 -0.0013 ZAIN, Public Warehouse Company (AGLTY.KSE) and National Mobile Gulf Cable & Electrical Industries Co 0.4728 0.0015 Telecommunications Company (NMTC.KSE) dominated the trading activity in the sector, accounting for 65.58% of total value of trade and 28.42% 2.3077 -0.0001 Heavy Engineering and Shipbuilding Co of the number of transactions completed. Contracting & Marine Services Co 1.0471 -0.0017 , Table 1.13 Services Sector s Top Five: Ranked by Value Kuwait Portland Cement Co 1.0448 -0.0005 Deals Volume Value Shuaiba Paper Products Co 0.2731 0.0005 Mobile Telecommunication Co 17.73% 12.00% 52.11% Metal & Recycling Co 1.2618 -0.0002 Public Warehousing Co 10.69% 6.30% 13.47% Kuwait Foundry Co 0.6811 -0.0009 As Safwa Group Holding 8.24% 29.30% 4.57% Aerated Concrete Industries Co 0.5422 0.0002 National Mobile Telecom Co 3.50% 1.32% 4.45% United Industries Co 1.5252 0.0004 Sultan Center for Food Products 6.92% 4.26% 2.96% Boubyan Petrochemical Co 1.6853 0.0004 Source: Kuwait Stock Exchange Gulf Glass Manufacturing Co -0.2030 0.0003 , The services sector s volatility indicator stood at 0.831 by end-November. Hilal Cement Co 0.0763 0.0017 Sultan Center for Food Products (SULTAN.KSE), Kuwait Resorts Company Al-Kout Industrial Projects Co -0.0740 -0.0010 (MUNTAZAHAT.KSE) and Haj & Umrah Services Consortium (MASHAER.KSE) proved to be more volatile than the rest of the companies in the services Kuwait Packing Materials Manufacturing Co 0.1909 0.0011 sector with a volatility indicator of 2.064, 1.859 and 1.806 respectively. Kuwait Building Materials Manufacturing 0.0415 0.0017

National Industries Co for Building Material 0.4072 -0.0004

Gulf Rocks Co 0.5601 -0.0003 Page 5 FINANCIAL MARKET DEVELOPMENTS Kuwait Monthly Economic Brief - November 2007

Table 1.14 Services Companies: Volatility vs. Risk

Beta Alpha Beta Alpha

Kuwait National Cinema Co 0.0367 0.0004 Gulf Petroleum Investment Co 0.6099 -0.0017

Kuwait Hotels Co 0.3738 0.0009 Gulf Franchising Holding Co 0.7718 -0.0036

Public Warehousing Co 1.9834 -0.0026 Credit Rating & Collection Co -0.0364 -0.0009

Kuwait Commercial Market Complex 0.7356 -0.0005 National Ranges Co 1.1397 -0.0013

Mobile Telecommunication Co 1.3117 -0.0001 Burgan company for well drilling 0.9579 0.0003

Hasibat Holding Co 0.1741 0.0024 IFA Hotels & Resorts 0.7798 -0.0014

Educatinal Holding Group 0.7496 -0.0016 Combined Group Contracting 0.2166 0.0021

Independent Petroleum Group 0.4801 -0.0003 Jeeran Holding 1.1169 -0.0015

National Cleaning Co. 1.2311 -0.0019 Palms Agro Production Co 0.6596 0.0011

Sultan Center for Food Products 2.0644 -0.0030 Al-Safat Tec Holding Co 0.3203 -0.0032

Arabi Holding Group 0.7251 -0.0003 Mushrif Trading & Contracting Co 0.2306 0.0014

Transport & Warehousing Group Co 0.6858 -0.0029 United Projects Group 0.5072 -0.0002

National Mobile Telecom Co 0.8498 -0.0004 Al Abraj Holding 0.9128 0.0023

Kuwait & Gulf Link Transport Co 1.2178 -0.0045 Avaiation Lease And Finance Co 0.8051 -0.0004

Kuwait Cable Vision -0.0904 0.0009 Al-Mowasat Holding Co 0.5094 -0.0030

Automated Services Co 0.1450 0.0000 Haj & Umrah Services Consortium 1.8059 -0.0030

National Petroleum Services Co 0.4753 -0.0011 Oula Fuel Marketing Co 0.6543 0.0002

KW Co for Process Plant & Contracting 0.4077 0.0010 Villa Moda Life Style -0.4001 -0.0016

Kuwait Slaughter House 0.0224 0.0001 Vending Network Co 0.0318 -0.0014

Eyas for Higher & Technical Education -0.1114 0.0007 Hayat Communications Co. 0.3610 -0.0010

Nibras Holding Co 0.4316 0.0013 Mubarrad Transport Co 1.5667 -0.0060

As Safwa Group Holding 1.1900 0.0007 Kuwait Resorts Co 1.8594 -0.0037

Human Soft Co -0.0057 -0.0012 Advanced Technology Co -0.0072 -0.0011

Kuwait Privatization Project Holding 1.4594 -0.0004 Source: Univest Research

Institute for Private Education 0.0596 0.0001 FOOD SECTOR , National Slaughter House 0.0314 -0.0002 By end-November, the food sector s index closed at 6,472.20 points, down by 6.13% month-on-month. Aref Energy Holding Co -0.2517 -0.0003 The total value of trades executed in the industrial sector stood at Safwan Trading & Contracting 0.2449 -0.0014 KD 424 million; representing around 1.23% of total executed in the exchange since the beginning of the year.

Page 6 FINANCIAL MARKET DEVELOPMENTS Kuwait Monthly Economic Brief - November 2007

Chart 1.8 Food Sector Value Index Chart 1.9 Non-Kuwaiti Sector Value Index

180 01/01/2007 - 11/30/2007 High: 7,054.60 (10/16/2007) 140 01/01/2007 - 11/30/2007 High: 10,890.00 (10/23/2007) Closing: 6,472.20 (11/29/2007) Low: 3,787.80 ( 02/18/2007) Closing: 10,416.00 (11/29/2007) Low: 7,641.90 ( 02/03/2007) 170 135

130 160 125 150 120 140 115

130 110

120 105

110 100 95 100 KSE KSE Food 90 Non-Kuwaiti 25 per. Mov. Avg. (Food) 90 25 per. Mov. Avg. (Non-Kuwaiti) Source: Univest Research Source: Univest Research

The average value per deal in the food sector stood at KD 12,372; with GFH, Gulf Cement Company (GCEM.KSE) and Ras Al Khaimah Company Kuwait Food Company (Americana) (FOOD.KSE) recording the highest for White Cement and Construction (RKWC.KSE), dominated the trading value in this category at an average of KD 33,412 per deal, followed by activity in the sector, accounting for 59.16% of total value of trade and Livestock Transport & Trading Company (CATTL.KSE) at KD 11,580. 53.47% of the number of deals executed. , DANAH, FOOD and Livestock Transport & Trading Company (CATTL.KSE) Table 1.17 Non-Kuwaiti Sector s Top Five: Ranked by Value dominated the trading activity in the sector, accounting for 95.10% of Deals Volume Value total value of trade and 92.70% of transactions executed. Gulf Finance House 22.21% 15.43% 27.24% , Table 1.15 Food Sector s Top Five: Ranked by Value Gulf Cement Co 17.51% 14.77% 20.27%

Deals Volume Value RAK Co For White Cement & Const 13.75% 26.06% 11.65%

Danah Al Safat Foodstuff Co 75.13% 77.61% 62.48% Arab Insurance Group 9.01% 9.38% 9.58%

Kuwait Food Co 9.17% 4.24% 24.76% Fujairah Cement Industries Co 8.90% 9.12% 8.55%

Livestock Transport & Trading Co 8.40% 9.20% 7.86% Source: Kuwait Stock Exchange Kuwait United Poultry Co 5.13% 8.22% 3.71% , The non-Kuwaiti sector s volatility indicator stood at 0.682 by end- Kout Food Group 1.37% 0.26% 0.68% November. Umm Al-Qaiwain Cement Industries Company (QCEM.KSE) , Source: Kuwait Stock Exchange recorded the highest beta at 1.189, up from the previous month s level of 1.081. , The food sector s volatility indicator stood at 0.812 by month end, down from the October level of 0.848. DANAH and Kuwait United Poultry Table 1.18 Non-Kuwaiti Companies: Volatility vs. Risk Company (POULT.KSE) recorded a higher beta than that of the entire sector Beta Alpha at 1.846 and 1.070 respectively. Shuaa Capital 0.6819 0.0012

Table 1.16 Food Companies: Volatility vs. Risk Sharjah Cement And Industrial Development Co 0.1890 0.0007

Beta Alpha Gulf Cement Co 0.1018 0.0011

Livestock Transport & Trading Co 0.6558 -0.0012 Umm Al-Qaiwain Cement Industries Co 1.3558 0.0010

Danah Al Safat Foodstuff Co 1.8459 -0.0011 Fujairah Cement Industries Co 1.1887 -0.0011

Kuwait United Poultry Co 1.0704 -0.0020 Gulf Finance House 1.0681 -0.0003

Kuwait Food Co (Americana) 0.2778 0.0043 Al Khalee Development 1.1542 0.0003

United Food Industries Group -0.1919 0.0013 Ahli United Bank 0.2009 0.0011

Source: Univest Research Bank Of Bahrain And Kuwait 0.9418 -0.0013

NON-KUWAITI SECTOR Source: Univest Research The non-Kuwaiti securities closed at 10,416.00 points, marking a month- to-month drop of 2.50%. The November level constituted an increase of 30.37% YTD.

The total value of trades executed in the non-Kuwaiti sector stood at KD 1,741 million; representing around 5.04% of total executed in the exchange since the beginning of the year.

The average value per transaction in the sector stood at KD 13,501; with Gulf Finance House (GFH.KSE) recording the highest value in this category at an average of KD 16,555 per deal, followed by Egypt Kuwait Holding (EKHOLDING.KSE) at KD 16,361 Page 7 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Banking Sector 147,088 7.22% 4,221,260 6.47% 5,072,286 14.68% 34,485 11,103,911 15.23% 17,230,998 31.15% National Bank of Kuwait 101 NBK 11.80% 0.85% 10.87% 0.70% 20.10% 2.95% 2,020 58,764 22.13% 3.37% 28.81% 8.97% Gulf Bank of Kuwait 102 GBK 3.90% 0.28% 3.67% 0.24% 5.42% 0.80% 1,760 47,866 9.82% 1.50% 11.14% 3.47% Commercial Bank of Kuwait 103 CBK 9.13% 0.66% 9.24% 0.60% 10.45% 1.53% 1,380 39,471 10.91% 1.66% 9.70% 3.02% Al-Ahli Bank 104 ABK 1.86% 0.13% 1.69% 0.11% 1.28% 0.19% 1,180 23,631 9.07% 1.38% 6.90% 2.15% Bank of Kuwait & Middle East 105 BKME 3.02% 0.22% 2.22% 0.14% 1.41% 0.21% 820 16,117 7.61% 1.16% 4.02% 1.25% Kuwait International Bank 106 KIB 8.18% 0.59% 12.20% 0.79% 6.99% 1.03% 670 29,440 7.72% 1.18% 3.33% 1.04% Burgan Bank 107 BURG 10.26% 0.74% 18.42% 1.19% 14.57% 2.14% 1,000 48,963 7.75% 1.18% 4.99% 1.56% Boubyan Bank K.S.C. 109 BOUBYAN 31.04% 2.24% 30.68% 1.98% 16.46% 2.42% 720 18,283 9.54% 1.45% 4.43% 1.38% Kuwait Finance House 108 KFIN 20.80% 1.50% 11.00% 0.71% 23.32% 3.42% 2,680 38,670 15.45% 2.35% 26.68% 8.31%

Investments Sector 598,644 29.40% 21,023,665 32.20% 8,812,245 25.50% 14,720 19,097,295 26.19% 8,938,138 16.16% Kuwait Investment Company 201 KNIV 0.53% 0.16% 0.41% 0.13% 0.46% 0.12% 440 12,571 2.75% 0.72% 2.58% 0.42% Commercial Facilities Company 202 FACIL 0.59% 0.17% 0.60% 0.19% 0.79% 0.20% 570 19,624 2.68% 0.70% 3.26% 0.53% International Financial Advisors 203 IFA 2.54% 0.75% 1.00% 0.32% 2.34% 0.60% 820 13,523 2.36% 0.62% 4.13% 0.67% National Investments Company 204 NINV 3.19% 0.94% 3.00% 0.97% 6.09% 1.55% 810 28,135 4.11% 1.08% 7.12% 1.15% Kuwait Projects Company 205 KPROJ 4.52% 1.33% 6.36% 2.05% 11.76% 3.00% 820 38,268 5.50% 1.44% 9.63% 1.56% Al-Ahlia Holding 206 AINV 5.19% 1.53% 5.14% 1.65% 3.31% 0.84% 230 9,386 4.13% 1.08% 2.03% 0.33% Coast Investment & Development 207 COAST 3.30% 0.97% 2.82% 0.91% 2.68% 0.68% 405 11,927 2.73% 0.71% 2.36% 0.38% The International Investor 208 TII 1.27% 0.37% 1.36% 0.44% 0.77% 0.20% 208 8,890 2.34% 0.61% 1.04% 0.17% The Securities House 209 SECH 0.63% 0.18% 0.62% 0.20% 1.00% 0.25% 740 23,444 2.37% 0.62% 3.74% 0.60% Industrial & Financial Investments 210 IIC 1.14% 0.33% 1.72% 0.55% 0.90% 0.23% 196 11,656 2.14% 0.56% 0.90% 0.14% Securities Group Company 211 SGC 2.41% 0.71% 2.49% 0.80% 2.53% 0.64% 460 15,395 1.34% 0.35% 1.31% 0.21% International Finance Company 212 IFC 0.92% 0.27% 0.79% 0.26% 0.77% 0.20% 410 12,438 2.30% 0.60% 2.02% 0.33% Kuwait Financial Center 213 KFC 2.66% 0.78% 2.83% 0.91% 2.42% 0.62% 345 13,402 2.30% 0.60% 1.70% 0.27% Kuwait & ME Financial Investment 214 KMEFI 0.25% 0.07% 0.22% 0.07% 0.30% 0.08% 580 17,484 1.13% 0.30% 1.40% 0.23% International Investment Group 215 IIG 6.68% 1.96% 4.69% 1.51% 4.59% 1.17% 315 10,106 1.91% 0.50% 1.29% 0.21% AREF Investment Group 216 AIG 1.70% 0.50% 1.18% 0.38% 1.55% 0.40% 520 13,427 2.53% 0.66% 2.81% 0.45% The Investment Dar 217 TID 5.20% 1.53% 1.87% 0.60% 5.01% 1.28% 1,000 14,182 4.00% 1.05% 8.54% 1.38% Al Aman Investment Company 218 ALAMAN 2.36% 0.69% 4.02% 1.29% 2.03% 0.52% 224 12,671 2.36% 0.62% 1.13% 0.18% First Investment Company 219 ALOLA 2.40% 0.71% 2.60% 0.84% 3.44% 0.88% 460 21,099 3.08% 0.81% 3.02% 0.49% Al-Mal Investment Company 220 ALMAL 2.29% 0.67% 1.42% 0.46% 1.26% 0.32% 290 8,125 2.77% 0.72% 1.71% 0.28% Gulf Investment House 221 GIH 2.94% 0.87% 2.72% 0.88% 1.79% 0.46% 248 8,951 2.20% 0.57% 1.16% 0.19% Aayan Leasing & Investment 222 AAYAN 1.90% 0.56% 1.36% 0.44% 1.55% 0.40% 460 12,041 2.68% 0.70% 2.63% 0.42% Bayan Investment Company 223 BAYANINV 3.67% 1.08% 2.43% 0.78% 1.94% 0.49% 270 7,792 1.87% 0.49% 1.08% 0.17%

Page 8 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Global Investment House 224 GLOBAL 2.33% 0.69% 1.81% 0.58% 3.62% 0.92% 890 22,861 4.50% 1.18% 8.56% 1.38% Osoul Leasing & Finance 225 OSOUL 3.17% 0.93% 5.06% 1.63% 2.42% 0.62% 182 11,248 1.66% 0.43% 0.64% 0.10% Gulf Invest International 226 GULFINVEST 2.37% 0.70% 3.11% 1.00% 1.59% 0.41% 204 9,906 2.46% 0.64% 1.07% 0.17% Kuwait Finance & Investment 227 KFIC 1.47% 0.43% 1.36% 0.44% 1.66% 0.42% 380 16,602 1.83% 0.48% 1.49% 0.24% KIPCO Asset Management 228 KAMCO 1.13% 0.33% 0.58% 0.19% 0.98% 0.25% 730 12,784 1.30% 0.34% 2.03% 0.33%

International Leasing & Investment Co 229 ILIC 1.40% 0.41% 0.98% 0.32% 1.29% 0.33% 475 13,586 1.49% 0.39% 1.51% 0.24%

Kuwait Invest Holding 230 KTINVEST 0.61% 0.18% 0.26% 0.08% 0.33% 0.08% 480 8,004 1.37% 0.36% 1.41% 0.23%

National International Holding 231 NIH 0.09% 0.03% 0.15% 0.05% 0.11% 0.03% 320 16,992 0.82% 0.22% 0.56% 0.09%

Housing Finance Co 232 ISKAN 1.11% 0.33% 1.89% 0.61% 1.07% 0.27% 285 14,236 1.47% 0.38% 0.89% 0.14%

Al Madar Finance & Investment 233 MADAR 1.39% 0.41% 0.64% 0.21% 0.51% 0.13% 244 5,429 1.75% 0.46% 0.91% 0.15% Al Deera Holding 234 ALDEERA 0.22% 0.07% 0.07% 0.02% 0.14% 0.04% 700 9,155 1.83% 0.48% 2.74% 0.44% Al Safat Investment 235 ALSAFAT 3.11% 0.91% 3.32% 1.07% 4.21% 1.07% 620 19,942 1.59% 0.42% 2.10% 0.34% Burgan Group 236 BURGANGRP 0.19% 0.06% 0.08% 0.03% 0.06% 0.02% 560 4,666 0.30% 0.08% 0.35% 0.06% Ektitab Holding 237 EKTTITAB 6.12% 1.80% 7.67% 2.47% 5.26% 1.34% 246 12,643 2.46% 0.64% 1.29% 0.21% Iraq Holding 238 IRAQHOLD 1.47% 0.43% 6.89% 2.22% 0.90% 0.23% 52 9,000 3.14% 0.82% 0.35% 0.06% Soukouk Holding 239 SOKOUK 2.15% 0.63% 3.11% 1.00% 1.52% 0.39% 134 10,402 5.24% 1.37% 1.50% 0.24% Al Madina Finance & Investment 240 ALMADINA 6.87% 2.02% 6.06% 1.95% 8.29% 2.11% 690 17,778 0.91% 0.24% 1.34% 0.22% Noor Financial Investment Co 241 NOOR 4.97% 1.46% 4.33% 1.39% 5.47% 1.39% 580 16,193 2.62% 0.69% 3.24% 0.52% Tamdeen Investment Company 242 TAMINV 1.49% 0.44% 0.94% 0.30% 1.27% 0.32% 400 12,590 1.48% 0.39% 1.27% 0.21% , Kuwait Bahrain Int l Exchange 243 EXCH 0.06% 0.02% 0.04% 0.01% 0.03% 0.01% 270 7,000 0.23% 0.06% 0.13% 0.02%

Insurance Sector 2,606 0.13% 81,725 0.13% 46,231 0.13% 17,740 890,671 1.22% 436,035 0.79% Kuwait Insurance Company 301 KINS 16.04% 0.02% 8.11% 0.01% 7.77% 0.01% 560 8,590 21.79% 0.27% 24.92% 0.20% Gulf Insurance Company 302 GINS 43.05% 0.06% 59.01% 0.07% 70.85% 0.09% 820 29,192 12.70% 0.16% 21.27% 0.17% Al Ahleia Insurance Company 303 AINS 12.24% 0.02% 4.67% 0.01% 5.35% 0.01% 640 7,756 15.95% 0.19% 20.85% 0.16% Warba Insurance Company 304 WINS 17.77% 0.02% 12.84% 0.02% 9.07% 0.01% 420 9,058 14.78% 0.18% 12.68% 0.10% Kuwait Reinsurance Company 305 KUWAITRE 3.99% 0.01% 7.92% 0.01% 3.78% 0.01% 280 16,825 11.18% 0.14% 6.39% 0.05% First Takaful Insurance Company 306 FTI 0.38% 0.00% 0.13% 0.00% 0.09% 0.00% 365 4,205 11.23% 0.14% 8.37% 0.07% Wethaq Takaful Insurance Company 307 WETHAQ 6.52% 0.01% 7.33% 0.01% 3.09% 0.00% 218 8,396 12.38% 0.15% 5.51% 0.04%

Real Estate Sector 413,104 20.29% 17,613,553 26.98% 4,652,035 13.46% 11,261 13,361,703 18.32% 3,888,735 7.03% Kuwait Real Estate Co 401 KRE 10.35% 2.10% 13.97% 3.77% 11.74% 1.58% 236 12,780 6.17% 1.13% 5.00% 0.35% United Real Estate Company 402 URC 2.63% 0.53% 3.49% 0.94% 2.64% 0.35% 168 11,286 5.45% 1.00% 3.15% 0.22% National Real Estate Company 403 NRE 7.15% 1.45% 3.75% 1.01% 9.49% 1.28% 480 14,933 5.54% 1.02% 9.14% 0.64%

Page 9 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Salhia Real Estate Co 404 SRE 1.13% 0.23% 0.57% 0.15% 1.23% 0.17% 560 12,344 2.71% 0.50% 5.22% 0.37% Pearl Of Kuwait Real Estate Co 405 PEARL 1.79% 0.36% 2.69% 0.73% 1.81% 0.24% 182 11,394 1.71% 0.31% 1.07% 0.08% Tamdeen Real Estate Company 406 TAM 1.64% 0.33% 0.74% 0.20% 1.51% 0.20% 440 10,340 2.54% 0.47% 3.84% 0.27% Internatioanl Investments Projects 407 IIPC 13.88% 2.82% 15.45% 4.17% 14.53% 1.96% 242 11,781 4.48% 0.82% 3.73% 0.26% Ajial Real Estate Entertainment 408 AREEC 0.27% 0.06% 0.16% 0.04% 0.26% 0.03% 420 10,552 1.26% 0.23% 1.81% 0.13% Al Maseelah Real Estate 409 MREC 0.23% 0.05% 0.23% 0.06% 0.18% 0.02% 190 8,548 1.60% 0.29% 1.05% 0.07% Arab Real Estate Co 410 ARABREC 4.16% 0.84% 5.33% 1.44% 3.42% 0.46% 142 9,252 3.46% 0.63% 1.69% 0.12% Union Real Estate Company 411 UREC 0.03% 0.01% 0.03% 0.01% 0.02% 0.00% 216 9,099 1.43% 0.26% 1.06% 0.07% , Al-Enma a Real Estate Co 412 ERESCO 0.95% 0.19% 1.01% 0.27% 0.73% 0.10% 188 8,585 2.92% 0.53% 1.89% 0.13% Mabanee Company 413 MABANEE 2.03% 0.41% 0.65% 0.17% 2.79% 0.38% 1,240 15,526 2.72% 0.50% 11.57% 0.81% Injazzat Real Estate Company 414 INJAZZAT 2.53% 0.51% 2.21% 0.59% 2.58% 0.35% 330 11,457 2.25% 0.41% 2.55% 0.18% Jeezan Holding 415 JEEZAN 8.08% 1.64% 6.19% 1.67% 8.22% 1.11% 280 11,449 1.69% 0.31% 1.63% 0.11% Grand Real Estate & Touristic Develop. 416 TOURISTIC 5.27% 1.07% 6.17% 1.67% 3.60% 0.49% 138 7,695 7.48% 1.37% 3.55% 0.25% International Resorts Company 417 IRC 6.30% 1.28% 6.37% 1.72% 5.31% 0.71% 214 9,491 1.16% 0.21% 0.85% 0.06% The Commercial Real Estate Co 418 ALTIJARIA 2.70% 0.55% 5.02% 1.36% 5.74% 0.77% 265 23,918 10.84% 1.99% 9.87% 0.69% Sanam Real Estate Company 419 SANAM 0.54% 0.11% 0.30% 0.08% 0.33% 0.04% 280 6,761 0.80% 0.15% 0.77% 0.05% Aayan Real Estate Co 420 AAYANRE 2.03% 0.41% 1.07% 0.29% 1.18% 0.16% 290 6,569 2.42% 0.44% 2.42% 0.17% Aqar Real Estate Co 421 AQAR 2.04% 0.41% 2.00% 0.54% 1.07% 0.14% 130 5,895 1.61% 0.29% 0.72% 0.05% Kuwait Real Estate Holding Company 422 ALAQARIA 2.37% 0.48% 3.09% 0.83% 2.09% 0.28% 210 9,942 2.25% 0.41% 1.62% 0.11% Al-Mazaya Holding Co 423 MAZAYA 1.98% 0.40% 1.14% 0.31% 2.51% 0.34% 580 14,272 2.37% 0.43% 4.72% 0.33% Al Dar National Real Estate Co 424 ADNC 1.15% 0.23% 1.00% 0.27% 0.64% 0.09% 146 6,283 3.14% 0.58% 1.58% 0.11% Al-Themar International Holding 425 THEMAR 3.49% 0.71% 5.32% 1.44% 2.67% 0.36% 126 8,616 7.58% 1.39% 3.28% 0.23% Grand Real Estate Projects 426 GRAND 7.69% 1.56% 4.40% 1.19% 6.39% 0.86% 320 9,361 2.27% 0.42% 2.50% 0.18% Tijara& Realestate Investment Co 427 TIJARA 1.44% 0.29% 1.63% 0.44% 1.13% 0.15% 158 8,836 2.88% 0.53% 1.56% 0.11% Tameer real estate investment 428 TAMEERK 1.66% 0.34% 1.82% 0.49% 1.08% 0.15% 130 7,322 1.80% 0.33% 0.80% 0.06% Arkan Al-kuwait Real Estate Co 429 ARKAN 1.19% 0.24% 1.42% 0.38% 0.95% 0.13% 192 9,057 1.56% 0.29% 1.03% 0.07% Gulf Horizon Holding Co 430 GULHH 0.76% 0.15% 0.55% 0.15% 0.84% 0.11% 375 12,455 0.22% 0.04% 0.29% 0.02% Alargan International Real Estate Co 431 ARGAN 1.78% 0.36% 1.59% 0.43% 2.16% 0.29% 355 13,710 1.98% 0.36% 2.42% 0.17% Abyaar Real Estate Development Co 432 ABYAAR 0.35% 0.07% 0.37% 0.10% 0.49% 0.07% 335 15,712 2.89% 0.53% 3.33% 0.23% Munshaat Real Estate Projects 433 MUNSHAAT 0.42% 0.08% 0.28% 0.07% 0.69% 0.09% 1,540 18,678 0.82% 0.15% 4.32% 0.30%

Industrial Sector 189,971 9.33% 4,621,901 7.08% 3,642,195 10.54% 19,172 5,541,306 7.60% 5,178,356 9.36% National Industries Group 501 NIND 20.78% 1.94% 23.22% 1.64% 42.89% 4.52% 1,540 39,572 21.25% 1.61% 35.01% 3.28% Kuwait Pipes Industries & Oil Services 502 PIPE 11.42% 1.07% 9.14% 0.65% 6.07% 0.64% 550 10,200 3.87% 0.29% 2.28% 0.21% Kuwait Cement Company 503 KCEM 1.12% 0.10% 0.63% 0.04% 1.05% 0.11% 1,340 17,933 8.64% 0.66% 12.39% 1.16%

Page 10 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Refrigeration Industries Co 504 REFRI 0.41% 0.04% 0.28% 0.02% 0.18% 0.02% 475 8,247 1.40% 0.11% 0.71% 0.07% Gulf Cable & Electrical Industries Co 505 CABLE 2.24% 0.21% 0.62% 0.04% 2.47% 0.26% 3,600 21,133 2.91% 0.22% 11.23% 1.05% Heavy Engineering and Shipbuilding Co 506 SHIP 5.75% 0.54% 4.78% 0.34% 3.10% 0.33% 520 10,327 2.44% 0.19% 1.36% 0.13% Contracting & Marine Services Co 507 MARIN 0.42% 0.04% 0.21% 0.01% 0.17% 0.02% 590 7,693 2.03% 0.15% 1.28% 0.12% Kuwait Portland Cement Co 508 PCEM 4.78% 0.45% 2.19% 0.16% 4.22% 0.45% 1,280 16,951 1.36% 0.10% 1.86% 0.17% Shuaiba Paper Products Co 509 PAPER 0.70% 0.07% 0.64% 0.05% 0.24% 0.02% 242 6,479 1.21% 0.09% 0.31% 0.03% Metal & Recycling Co 510 MRC 3.99% 0.37% 2.39% 0.17% 2.50% 0.26% 640 12,039 1.39% 0.11% 0.95% 0.09% Kuwait Foundry Co 511 MFOUC 0.31% 0.03% 0.06% 0.00% 0.10% 0.01% 1,300 6,296 1.81% 0.14% 2.51% 0.24% Aerated Concrete Industries Co 512 ACICO 2.26% 0.21% 1.80% 0.13% 1.18% 0.12% 540 9,991 3.52% 0.27% 2.03% 0.19% United Industries Company 513 UIC 11.92% 1.11% 14.09% 1.00% 6.63% 0.70% 360 10,663 4.26% 0.32% 1.64% 0.15% Boubyan Petrochemical Company 514 BPCC 8.82% 0.82% 11.49% 0.81% 14.29% 1.51% 1,060 31,067 8.34% 0.63% 9.46% 0.89% Gulf Glass Manufacturing Co 515 GGMC 0.05% 0.00% 0.40% 0.03% 0.00% 0.00% 690 1,968 0.63% 0.05% 0.46% 0.04% Hilal Cement Company 516 HCC 0.09% 0.01% 0.04% 0.00% 0.05% 0.00% 1,020 9,914 0.60% 0.05% 0.65% 0.06% Al-Kout Industrial Projects Co 517 ALKOUT 0.02% 0.00% 0.00% 0.00% 0.01% 0.00% 500 9,483 1.59% 0.12% 0.85% 0.08% Kuwait Packing Materials Manufacturing Co 518 KPAK 0.06% 0.01% 0.05% 0.00% 0.04% 0.00% 900 14,856 0.69% 0.05% 0.67% 0.06% Kuwait Building Materials Manufacturing 519 KBMMC 0.12% 0.01% 0.09% 0.01% 0.04% 0.00% 300 6,609 0.47% 0.04% 0.15% 0.01% National Industries Co for Building Material 520 NICBM 0.83% 0.08% 1.01% 0.07% 0.54% 0.06% 410 12,436 5.93% 0.45% 2.60% 0.24% Gulf Rocks Company 521 ROCKS 0.37% 0.03% 0.20% 0.01% 0.12% 0.01% 430 6,180 0.68% 0.05% 0.31% 0.03% Equipment Holding Company 522 EQUIPMENT 6.55% 0.61% 7.54% 0.53% 3.14% 0.33% 265 9,189 2.24% 0.17% 0.63% 0.06% Global Holding Group 523 GHG 0.81% 0.08% 0.73% 0.05% 0.27% 0.03% 275 6,442 1.81% 0.14% 0.53% 0.05% National Company for Consumer Industries 524 NCCI 0.02% 0.00% 0.02% 0.00% 0.01% 0.00% 510 8,770 0.54% 0.04% 0.30% 0.03% KW Gypsum Manufacturing & Trading 525 GYPSUM 0.01% 0.00% 0.00% 0.00% 0.00% 0.00% 425 4,248 0.54% 0.04% 0.25% 0.02% Qurain Petrochemical Industries 526 ALQURAIN 16.18% 1.51% 18.37% 1.30% 10.69% 1.13% 450 12,673 19.85% 1.51% 9.56% 0.89%

Services Sector 521,727 25.62% 11,944,614 18.30% 10,162,378 29.41% 22,894 12,047,525 16.52% 12,462,928 22.53% Kuwait National Cinema Co 601 KCIN 0.04% 0.01% 0.08% 0.02% 0.12% 0.03% 1,060 54,491 0.67% 0.11% 0.69% 0.15% Kuwait Hotels Co 602 KHOT 0.08% 0.02% 0.08% 0.02% 0.02% 0.01% 255 5,373 0.42% 0.07% 0.10% 0.02% Public Warehousing Company 603 AGLTY 10.69% 2.74% 6.30% 1.15% 13.47% 3.96% 1,260 24,549 7.90% 1.31% 9.62% 2.17% Kuwait Commercial Market Complex 604 SHOP 0.56% 0.14% 0.65% 0.12% 0.28% 0.08% 375 9,854 1.51% 0.25% 0.55% 0.12% Mobile Telecommunication Company 605 ZAIN 17.73% 4.54% 12.00% 2.20% 52.11% 15.33% 3,780 57,251 15.71% 2.60% 57.41% 12.93% Hasibat Holding Company 606 COMP 0.34% 0.09% 0.53% 0.10% 0.15% 0.05% 300 8,970 0.50% 0.08% 0.14% 0.03% Educational Holding Group 607 EDU 0.52% 0.13% 0.48% 0.09% 0.17% 0.05% 260 6,237 1.77% 0.29% 0.44% 0.10% Independent Petroleum Group 608 IPG 0.26% 0.07% 0.36% 0.07% 0.18% 0.05% 400 13,617 1.26% 0.21% 0.49% 0.11% National Cleaning Co. 609 CLEANING 0.49% 0.13% 0.29% 0.05% 0.15% 0.05% 385 6,113 0.39% 0.06% 0.15% 0.03%

Page 11 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Sultan Center for Food Products 610 SULTAN 6.92% 1.77% 4.26% 0.78% 2.96% 0.87% 400 8,321 4.37% 0.72% 1.69% 0.38% Arabi Holding Group 611 AGHC 0.58% 0.15% 0.47% 0.09% 0.32% 0.09% 360 10,553 1.10% 0.18% 0.38% 0.09% Transport & Warehousing Group Co 612 TRANSPORT 0.21% 0.06% 0.04% 0.01% 0.05% 0.01% 790 4,401 0.82% 0.13% 0.62% 0.14% National Mobile Telecommunications Co 613 NMTC 3.50% 0.90% 1.32% 0.24% 4.45% 1.31% 2,600 24,799 3.80% 0.63% 9.56% 2.15% Kuwait & Gulf Link Transport Co 614 KGL 2.66% 0.68% 1.33% 0.24% 1.40% 0.41% 490 10,228 1.68% 0.28% 0.80% 0.18% Kuwait Cable Vision 615 CABLETV 0.09% 0.02% 0.12% 0.02% 0.03% 0.01% 190 5,741 0.48% 0.08% 0.09% 0.02% Automated Services Company 616 ASC 0.21% 0.05% 0.10% 0.02% 0.08% 0.02% 610 7,211 0.33% 0.05% 0.20% 0.04% National Petroleum Services Company 617 NAPESCO 0.09% 0.02% 0.06% 0.01% 0.02% 0.01% 310 5,242 0.43% 0.07% 0.13% 0.03% Kuwait Co for Process Plant & Contracting 618 KCPC 0.05% 0.01% 0.04% 0.01% 0.02% 0.00% 375 6,648 0.34% 0.06% 0.12% 0.03% Kuwait Slaughter House 619 KSH 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 400 10,276 0.30% 0.05% 0.12% 0.03% Eyas for Higher & Technial Education 620 EYAS 0.01% 0.00% 0.02% 0.00% 0.01% 0.00% 300 18,482 0.83% 0.14% 0.24% 0.05% Nibras Holding Company 621 NIBRAS 0.08% 0.02% 0.13% 0.02% 0.06% 0.02% 435 14,599 0.42% 0.07% 0.17% 0.04% As Safwa Group Holding 622 ALSAFWA 8.24% 2.11% 29.30% 5.36% 4.57% 1.35% 150 10,816 8.30% 1.37% 1.20% 0.27% Human Soft Company 623 HUMANSOFT 0.08% 0.02% 0.16% 0.03% 0.04% 0.01% 190 9,242 0.95% 0.16% 0.17% 0.04% Kuwait Privatization Project Holding 624 KPPC 2.80% 0.72% 7.36% 1.35% 1.95% 0.57% 204 13,518 6.28% 1.04% 1.24% 0.28% Institute for Private Education 625 IPE 0.04% 0.01% 0.07% 0.01% 0.03% 0.01% 340 15,240 0.19% 0.03% 0.06% 0.01% National Slaughter House 626 NSH 0.01% 0.00% 0.01% 0.00% 0.00% 0.00% 200 4,850 0.24% 0.04% 0.05% 0.01% Aref Energy Holding CO 627 AREFENRGY 0.06% 0.02% 0.24% 0.04% 0.09% 0.03% 196 28,335 0.87% 0.14% 0.17% 0.04% Safwan Trading & Contracting 628 SAFWAN 0.04% 0.01% 0.04% 0.01% 0.02% 0.00% 300 7,920 0.42% 0.07% 0.12% 0.03% Gulf Petroleum Investment Co 629 GPI 4.99% 1.28% 4.14% 0.76% 2.46% 0.72% 480 9,601 1.22% 0.20% 0.56% 0.13% Gulf Franchising Holding Co 630 GFC 1.32% 0.34% 1.72% 0.31% 0.50% 0.15% 168 7,285 0.98% 0.16% 0.16% 0.04% Credit Rating & Collection Co 631 TAHSSILAT 0.04% 0.01% 0.04% 0.01% 0.02% 0.01% 390 8,630 1.37% 0.23% 0.52% 0.12% National Ranges Company 632 MAYADEEN 2.48% 0.63% 8.06% 1.47% 1.15% 0.34% 114 9,056 8.30% 1.37% 0.91% 0.21% Burgan company for well drilling 633 ABAR 1.58% 0.40% 0.84% 0.15% 1.04% 0.31% 900 12,874 1.29% 0.21% 1.13% 0.25% IFA Hotels & Resorts 634 IFAHR 2.08% 0.53% 1.39% 0.25% 1.86% 0.55% 890 17,422 2.85% 0.47% 2.46% 0.55% Combined Group Contracting 635 CGC 1.58% 0.40% 0.61% 0.11% 0.99% 0.29% 1,340 12,245 0.55% 0.09% 0.71% 0.16% Jeeran Holding 636 JEERANH 0.13% 0.03% 0.19% 0.03% 0.07% 0.02% 300 11,294 1.19% 0.20% 0.34% 0.08% Palms Agro Production Co 637 PAPCO 0.04% 0.01% 0.03% 0.00% 0.01% 0.00% 290 4,783 0.27% 0.04% 0.07% 0.02% Al-Safat Tec Holding Company 638 SAFTEC 0.47% 0.12% 0.86% 0.16% 0.19% 0.06% 174 7,835 3.32% 0.55% 0.56% 0.13% Mushrif Trading & Contracting Co 639 MTCC 0.15% 0.04% 0.06% 0.01% 0.05% 0.02% 670 7,028 0.25% 0.04% 0.16% 0.04% United Projects Group 640 UPAC 0.38% 0.10% 0.27% 0.05% 0.13% 0.04% 385 6,862 0.68% 0.11% 0.25% 0.06% Al Abraj Holding 641 ABRAJ 1.75% 0.45% 1.82% 0.33% 1.69% 0.50% 920 18,799 0.57% 0.09% 0.51% 0.11% Aviation Lease And Finance Co 642 ALAFCO 2.82% 0.72% 5.81% 1.06% 1.55% 0.46% 208 10,717 5.18% 0.86% 1.04% 0.23% Al-Mowasat Holding Co 643 MHC 0.03% 0.01% 0.17% 0.03% 0.04% 0.01% 150 22,762 0.85% 0.14% 0.12% 0.03%

Page 12 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Haj & Umrah Services Consortium 644 MASHAER 3.43% 0.88% 1.50% 0.27% 2.37% 0.70% 1,020 13,420 0.86% 0.14% 0.85% 0.19% Oula Fuel Marketing Company 645 OULAFUEL 2.47% 0.63% 2.95% 0.54% 1.51% 0.44% 450 11,893 2.49% 0.41% 1.08% 0.24% Villa Moda Life Style 646 VILLAMODA 0.13% 0.03% 0.17% 0.03% 0.03% 0.01% 130 4,498 0.56% 0.09% 0.07% 0.02% Future Communications Co. Global 647 FUTURE 15.06% 3.86% 0.36% 0.07% 0.18% 0.05% 400 231 0.58% 0.10% 0.22% 0.05% Vending Network Company 648 VENDINGNET 0.08% 0.02% 0.07% 0.01% 0.03% 0.01% 360 8,069 0.32% 0.05% 0.11% 0.03% Hayat Telecom Co. 649 HAYATCOMM 0.51% 0.13% 0.66% 0.12% 0.32% 0.09% 355 12,372 0.50% 0.08% 0.17% 0.04% Mubarrad Transport Co 650 MUBARRAD 1.30% 0.33% 0.87% 0.16% 0.50% 0.15% 275 7,502 1.29% 0.21% 0.34% 0.08% Kuwait Resorts Company 651 MUNTAZAHAT 0.51% 0.13% 0.83% 0.15% 0.23% 0.07% 192 8,631 1.44% 0.24% 0.27% 0.06% Advanced Technology Company 652 ATC 0.09% 0.02% 0.32% 0.06% 0.22% 0.07% 500 48,969 0.83% 0.14% 0.40% 0.09% YIACO Medical Company 653 YIACO 0.20% 0.05% 0.41% 0.08% 0.11% 0.03% 315 10,860 0.84% 0.14% 0.26% 0.06%

Food Sector 34,306 1.68% 941,341 1.44% 424,423 1.23% 12,372 923,677 1.27% 1,260,053 2.28% Livestock Transport & Trading Co 701 CATTL 8.40% 0.14% 9.20% 0.13% 7.86% 0.10% 315 11,580 23.45% 0.30% 5.41% 0.12% Danah Al Safat Foodstuff Company 702 DANAH 75.13% 1.27% 77.61% 1.12% 62.48% 0.77% 335 10,290 25.01% 0.32% 6.14% 0.14% Kuwait United Poultry Co 703 POULT 5.13% 0.09% 8.22% 0.12% 3.71% 0.05% 168 8,949 12.49% 0.16% 1.54% 0.04% Kuwait Food Company (Americana) 704 FOOD 9.17% 0.15% 4.24% 0.06% 24.76% 0.30% 3,780 33,412 29.01% 0.37% 80.40% 1.83% United Food Industries Group 705 UFIG 0.81% 0.01% 0.47% 0.01% 0.51% 0.01% 600 7,757 2.89% 0.04% 1.27% 0.03% Kout Food Group 706 KOUTFOOD 1.37% 0.02% 0.26% 0.00% 0.68% 0.01% 1,000 6,138 7.15% 0.09% 5.24% 0.12%

Non Kuwaiti Sector 128,979 6.33% 4,839,747 7.41% 1,741,354 5.04% 13,501 9,952,031 13.65% 5,921,749 10.71% Shuaa Capital 803 SHUA 0.46% 0.03% 0.19% 0.01% 0.24% 0.01% 500 7,152 5.53% 0.75% 4.64% 0.50% Sharjah Cement & Industrial Development Co 804 SCEM 2.55% 0.16% 2.10% 0.16% 2.01% 0.10% 350 10,649 4.72% 0.64% 2.78% 0.30% Gulf Cement Company 805 GCEM 17.51% 1.11% 14.77% 1.09% 20.27% 1.02% 490 15,625 7.17% 0.98% 5.91% 0.63% Umm Al-Qaiwain Cement Industries Co 806 QCEM 9.86% 0.62% 12.33% 0.91% 7.01% 0.35% 236 9,609 3.01% 0.41% 1.20% 0.13% Fujairah Cement Industries Co 807 FCEM 8.90% 0.56% 9.12% 0.68% 8.55% 0.43% 335 12,974 2.83% 0.39% 1.59% 0.17% White Cement 808 RKWC 13.75% 0.87% 26.06% 1.93% 11.65% 0.59% 162 11,434 4.69% 0.64% 1.28% 0.14% Arab Insurance Group 809 ARIG 0.24% 0.02% 0.16% 0.01% 0.11% 0.01% 255 6,311 2.21% 0.30% 0.95% 0.10% United Gulf Bank 810 UGB 9.01% 0.57% 9.38% 0.70% 9.58% 0.48% 400 14,351 8.13% 1.11% 5.47% 0.59% Egypt Kuwait Holding 811 EKHOLDING 7.95% 0.50% 4.18% 0.31% 7.08% 0.36% 660 12,031 6.97% 0.95% 7.73% 0.83% Bahrain Kuwait Insurance Company 812 BKIKWT 0.13% 0.01% 0.15% 0.01% 0.16% 0.01% 455 16,361 0.61% 0.08% 0.47% 0.05% Gulf Finance House 813 GFH 22.21% 1.41% 15.43% 1.14% 27.24% 1.37% 740 16,555 7.27% 0.99% 9.05% 0.97% Commercial International Bank 814 CIB 0.02% 0.00% 0.00% 0.00% 0.01% 0.00% 3700 5,689 1.96% 0.27% 12.18% 1.30% SOLIDERE A 815 SOLIDERE A - - 0.00% 0.00% 0.00% 0.00% 6,450 - 1.00% 0.14% 10.89% 1.17% SOLIDERE B 816 SOLIDERE B - - 0.00% 0.00% 0.00% 0.00% 6,550 - 0.65% 0.09% 7.19% 0.77%

Page 13 Kuwait Monthly Economic Brief - November 2007

MTM Company No Ticker Transactions Volume (000) Value (000) Closing Average Outstanding Shares Market Cap (000) Price Value per Deal Sector Market Sector Market Sector Market Sector Market Sector Market Al Khaleej Development 817 TAMEER 6.07% 0.38% 4.84% 0.36% 4.69% 0.24% 410 10,440 2.28% 0.31% 1.57% 0.17% Ahli united bank 818 AUB 1.23% 0.08% 1.21% 0.09% 1.28% 0.06% 375 13,985 33.19% 4.53% 20.92% 2.24% Bank Of Bahrain And Kuwait 819 BBK 0.12% 0.01% 0.09% 0.01% 0.12% 0.01% 475 14,309 7.76% 1.06% 6.19% 0.66%

Total Market 2,036,425 65,287,805 34,553,147 72,918,119 55,316,992

Page 14 Salhiya Complex - Gate 8 - Floor 5 - P.O.Box: 1520, Safat, Kuwait 13016- Tel.: +965 245 8383 - Fax: +965 245 8363 Email: [email protected] - Web: www.univestgroup.com