Nine month period sees significant gains for EFG-Hermes

A number of major milestone were achieved in the quarter, including the receipt of the online trading license in Egypt, the installation of FIX connections to the Cairo and Alexandria Stock Exchange, the launch of three new funds and the successful completion of a $506 million capital increase and substantial institutionalization of the shareholder base.
Business outside of Egypt continued to grow in importance with a dramatic improvement in the United Arab Emirates brokerage business to a number 8 market share position and strong performance from both UAE Investment Banking and Asset Management. Plans for the launch of a Saudi Arabia business remain on track with first trades expected before year end.

"Overall the quarter was extremely eventful, with a number of corporate milestones achieved despite lackluster market conditions. We are extremely pleased with the growth in revenues outside of Egypt which validate our regional expansion strategy and the investments in people and infrastructure that we have made."

says Yasser El-Mallawany, Chairman & CEO of EFG-Hermes Holding.

Year-to-date net profit (after tax and minority interest) increased almost three-fold over the same period in 2005 to LE 510 million. Some of this growth is due to the consolidation of income resulting from the acquisition of a major stake in Banque Audi earlier in the year. Adjusted for Banque Audi, core business net profit after tax (LE 348.6 million) has shown almost a two-fold increase over the same period last year, and is equivalent to bottom line profits for the full year 2005.