Com.int.bk.regs Regulatory News (CBKD)

17 Oct 2006 13:08

Commercial Intnl Bank (Egypt) SAE17 October 2006 PRESS RELEASE "Following weeks of extensive evaluation of the opportunity of BoA, includingthe related integration and restructuring requirements, the Board of Directorsand CIB management elected to submit a proposal with terms that would allow CIBto achieve earnings growth and returns on investment in line with its historicalperformance and future expectations. Consistent with CIB's long history of responsible corporate governance andcommitment to protecting shareholders' interests, the Board of Directors applieda disciplined analytical approach in its evaluation of the strategic opportunityand restricted CIB's proposal to terms that would not dilute shareholder value.CIB believes the interests of its shareholders are best served by continuing toimplement the Company's current business strategy and organic growth plans. Inso doing, CIB expects to maximize shareholders' wealth over the medium and longterm. CIB has achieved a compound average organic growth rate in EPS of approximately20% over the past 20 years; CIB's management is confident that implementing itscurrent strategy will enable the Company to continue to produce consistent,superior earnings growth and returns on investment. CIB also announced it has entered into a Memorandum of Understanding withEgyptian and United Arab Emirates investors to establish a subsidiary in Algeriato be branded CIB-Algeria. The Algerian banking sector offers significant growthopportunities, particularly in corporate banking, as the role of the country'sprivate sector expands through privatization and FDI. The shareholding structureof CIB-Algeria provides a strong platform for the venture, offering a robustentry into Algeria." Investor Relations This information is provided by RNS The company news service from the London Stock Exchange