Gulf International Bank B.S.C. USD 1,200,000,000 syndicated term loan facility signed Friday 11th May, 2007

The facility was launched into syndication on 2nd April, 2007 for an amount of USD1 billion. The facility was extremely well received by the market and was oversubscribed to an amount of USD1.46 billion.

The facility was fully-underwritten and arranged by the following Initial Mandated Lead Arrangers: ABN Amro Bank N.V., Arab Bank plc, The Bank of Tokyo-Mitsubishi UFJ, Ltd., Barclays Capital (the investment banking division of Barclays Bank PLC), Bayerische Landesbank, BNP Paribas, CALYON, Commerzbank Aktiengesellschaft, Mizuho Corporate Bank, Ltd., The Royal Bank of Scotland plc, Standard Chartered Bank, Sumitomo Mitsui Banking Corporation Europe Limited.

During the signing ceremony, Dr. Khaled M. Al-Fayez, GIB's Chief Executive Officer, said:

"We are pleased with the support we received from the international banking community. This loan is probably one of the largest loans arranged for a Middle Eastern bank and reflects the confidence in GIB's strength and sound business strategy."

Dr. Al-Fayez added that "GIB's GCC-focused merchant banking strategy, which was adopted in 2002, has resulted in a significant improvement in the diversification and quality of its revenues and a substantial increase in net income and return on equity (ROE). Over the last four years, GIB has more than doubled its ROE, which rose to 14.3 per cent in 2006. The loan will be used to finance the Bank's various activities."

GIB is one of the largest regional banks in the GCC, with more than US$26.2 billion of its own assets and US$22 billion of clients' assets under management. With a proven track record spanning more than 30 years, GIB provides client-led, innovative financial products and services to a wide customer base in the region, including investment banking, treasury services, asset management, project and structured finance, and Islamic banking.

GIB has strong investment grade ratings from all three major international credit rating agencies: Fitch, Moody's and Standard & Poor's. GIB was the first bank in the GCC to be awarded long-term investment grade credit ratings by all of the major international agencies. GIB's current long-term foreign currency debt ratings are: Fitch: A, Moody's: A2 and Standard & Poor's: A-.

Principal terms and conditions are as follows:

Amount: US$1.2 billion
Maturity: 5 years
Repayment: Bullet
Interest Rate: LIBOR + 25bps pa
Governing Law: English

Roles in the transaction will be undertaken by the following institutions:

Facility Agent Bayerische Landesbank
Documentation Agent Commerzbank Aktiengesellschaft
Bookrunners:
BNP Paribas
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
CALYON
The Royal Bank of Scotland plc

Signing and Publicity Bank Mizuho Corporate Bank, Ltd.

A full list of the syndicate of banks is detailed below:

Initial Mandated Lead Arrangers
ABN Amro Bank
Arab Bank plc
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Barclays Bank PLC
Bayerische Landesbank
BNP Paribas
Calyon Corporate & Investment
Commerzbank Aktiengesellschaft
Mizuho Corporate Bank, Ltd.
The Royal Bank of Scotalnd plc
Standard Chartered Bank
Sumitomo Mitsui Banking Corporation Europe Limited

Mandated Lead Arrangers
Deutsche Bank Luxembourg S.A.
DBS Bank Ltd
DZ BANK AG
Erste Bank
FORTIS
ING Wholesale Banking
JPMorgan Chase Bank, N.A.

Arrangers
Arab National Bank (ANB)
SG Corporate & Investment Banking

Co-Arranger
Citibank
Doha Bank

Lead Managers
Banco Popolare di Verona e Novara S.c.r.l., London Branch
LRP Landesbank Rheinland-Pfalz, Member of the LBBW Group
NATIXIS

Managers
Bank Muscat Bank of Montreal
KOMMUNALKREDIT INTERNATIONAL BANK LIMITED

Co-Managers
Landesbank Saar
UNION DE BANQUES ARABES ET FRANCAISES - U.B.A.F.
Zürcher Kantonalbank

Agent
Commerzbank Aktiengesellschaft