Raiffeisen Zentralbank Österreich and WestLB launch US$100 m Standby Commodity Murabaha Financing for Gulf Finance House

Notes and media contacts

About the Murabaha:

• Facility has a 3 year maturity
• Facility is a Commodity Murabaha stand-by
• Proposed profit rate: 3 or 6-month LIBOR + 105bps p.a.
• Facility based on metal purchase by GFH using agency agreement with WestLB
• The structure of the Facility has been approved by the internal Sharia advisors of GFH
• GFH has a rating of BBB- from Standards and Poor's (Aug. 2006) and BBB from Capital Intelligence (Nov. 2005).

Raiffeisen Zentralbank Österreich and WestLB along with GFH are planning a roadshow to highlight the launch of the syndicated fund. The roadshow will also feature GFH's project initiatives and will be open to Banks and other financial institutions.

The roadshow for the transaction starts in Dubai on Tuesday 7th November, followed by Kuala Lumpur on Thursday 9th November; and ending with London on Friday 10th November.

This Murabaha follows the signing of a one-year renewable US$ 90 million syndicated Murabaha facility between GFH and a group of nine banks from Europe, Asia and the Middle East. The mandated lead arranger, book-runner and major underwriter for the facility included Bayerische Hypo- und Vereinsbank AG (HVB), a leading European bank with over 20 years' involvement in Islamic finance.

About Gulf Finance House:
Established on 16 October 1999 in the Kingdom of Bahrain as an Islamic investment bank, Gulf Finance House (GFH) has an authorized capital of US$ 300 million and a paid up capital of US$ 150 million, which was increased to US$ 212 million in March 2006. This was followed by the listing of GFH's shares on the Dubai Financial Market in May 2006, where the bank has been listed on the Bahrain and Kuwait stock exchanges since 2004. At the cutting edge of the rapidly expanding international Islamic banking industry, the Bank's commitment is to the Islamic Sharia'a philosophy of wealth management, and this shapes the structure and direction of its investment products. GFH is also one of the first Islamic investment banks in the world to receive an investment grade credit rating (BBB-) by Standard & Poor.

GFH is dedicated to providing its clients with carefully selected investment opportunities that balance risk with reward. From its inception GFH has provided Islamic investment banking services with an emphasis on regional development, capitalizing on an increasing willingness amongst Islamic investors to back local and regional opportunities. This has resulted in various investments around the region, taking advantage of the many reforms initiated by GCC governments to diversify and liberalize their economies, in addition to many international investments creating a balanced portfolio of opportunity for GFH clients.

During its six years of operations, GFH has successfully launched projects and investments with an aggregate final value exceeding US$12 billion. This was indeed a significant feat in a short period of time that was made possible by the participation of a broad base of investors from across the GCC. GFH was one of the first GCC banks to focus on private equity investments in companies based in the GCC and other MENA countries. These companies include a pioneering aluminum extruder in the GCC, a company specializing in Islamic finance, and a fund created to invest in GCC and MENA technology companies.

GFH also introduced innovative Sharia'a-compliant structures such as 'Investment Notes', 'Financing Notes' and 'Participating Rights' that have since found wide acceptance in the market and which have enabled GFH to consolidate its pioneering position among other Islamic and conventional banks.

In addition, GFH either directly launched or is significantly participating in several innovative infrastructure development projects that include Bahrain Financial Harbour and Al Areen Development in the Kingdom of Bahrain, Legends in Dubailand in the United Arab Emirates, Royal Metropolis in the Hashemite Kingdom of Jordan, Prince Abdul Aziz Bin Mousaed Economic City in the Kingdom of Saudi Arabia, Gateway to Morocco in the Kingdom of Morocco, Energy City Qatar in Doha and the transportation infrastructure development project in the Arab Republic of Egypt. Recently, GFH, in association with Gulf Energy, launched India's first integrated energy business district - Energy City India.

GFH aims to lead the Islamic investment banking industry in the GCC, Middle East and North African countries and has already established its pedigree. In addition to past awards and recognition, in 2006 alone the Bank has won numerous local and international awards culminating in 'Best Investment Bank 2006' awarded by Banker Middle East, the Sheikh Mohammad Bin Rashid Al Makhtoum Award for 'Global Contribution in Islamic Private Equity/Venture Capital 2006' at the International Islamic Finance Forum and the 'Excellence in Islamic Banking and Finance: Islamic Bank of the Year' award by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI).
Gulf Finance House has evolved into a bank capable of continued performance to the highest level. We have built a solidly profitable and strategically sound platform on which we can continue to grow for years to come.

About RZB:
Raiffeisen Zentralbank Österreich AG (RZB) is the central institution of the Austrian Raiffeisen Banking Group, the country's most powerful banking group. It is a leading corporate and investment bank in Central and Eastern Europe (CEE). Via listed subsidiary Raiffeisen International Bank Holding AG (Raiffeisen International), it operates the leading banking network in CEE with 17 subsidiary banks and numerous finance leasing companies in 16 markets. As of 30 June 2006, RZB Group's balance-sheet total amounted to € 103.2 billion.

In 2005 and in the course of 2006, RZB has both arranged and participated in many Islamic structured deals e.g.:

i) Shamil Bank, Bahrain (January 2005) - US$100 million 5-year commodity Murabaha Term Facility co-arranged and underwritten by RZB together with 4 other financial institutions;
ii) Arcapita Bank, Bahrain (October 2005) - US$200 million 5-year Sukuk al Murabaha participated at senior level.
iii) Kuwait Finance House (April 2006) - US$850 million 5-year commodity Murabaha participated at senior level.
iv) Al Rajhi Banking & Investment Corp, Saudi Arabia (April 2006) - US$500 million 3-year fixed rate commodity Murabaha participated at senior level.
v) Kuwait Real Estate Bank, Kuwait (July 2005) - US$75 million 3-year commodity Murabaha participated at senior level.

About WestLB:
WestLB AG is one of the largest banks in Germany, with total assets in excess of € 250 billion. WestLB is one of the leading arrangers of syndicated financing and capital markets transactions in the Middle East, with a particular expertise in Islamic financings.

Since the beginning of 2005, WestLB has arranged over US$4 billion of Islamic financings .Highlights include the following transactions:

i) Arcapita Bank, Bahrain (October 2005) - US$ 200 million 5-year Sukuk Al-Murabaha arranged and underwritten by WestLB together with 2 other financial institutions;

ii) Dolphin Energy, UAE (October 2005) - US$ 1,000 million Ijara facility jointly arranged by WestLB;

iii) FFK Fon Leasing, Turkey (December 2005) - US$ 44 million capital goods Murabaha arranged by WestLB on a sole basis;

iv) Department of Civil Aviation, Dubai (April 2006) - US$ 1 billion 5-year Istisna/Ijara Sukuk arranged by WestLB together with 6 other financial institutions;

v) Kuwait Finance House, Kuwait (April 2006) - US$ 850 million 5-year commodity Murabaha arranged and underwritten by WestLB together with 7 other financials institutions;

vi) Al Rajhi Banking & Investment Corp, Saudi Arabia (April 2006) - US$ 500 million 3-year fixed rate commodity Murabaha arranged by WestLB together with 5 other financial institutions;

vii) Aya'an Leasing, Kuwait (September 2006) - US$100 million 3-year Sukuk al Musharaka arranged and underwritten by WestLB together with 4 other financial institutions;

viii) The Investment Dar, Kuwait (September 2006) - US$150 million 5-year ( Sukuk al Musharaka (with a 3year put/call option) arranged with another financial institution and solely underwritten by WestLB

www.westlb.com