Arab Insurance Group - AGM Statement

RNS Number:1712R
Arab Insurance Group (B.S.C.)
31 March 2008

Press Release

30 March 2008

Arig's AGM approves 2007 results and elects new Board

Manama: Arab Insurance Group (Arig) held its 27th Annual General Assembly
Meeting of shareholders at the Sheraton Hotel in Bahrain on 30 March 2008.

The meeting, with 60.6% of shareholders attending, was presided over by Arig's
Chairman, Mr. Khalid Ali Al Bustani.

At the meeting, shareholders approved Arig's 2007 results, which had registered
a net profit of US$ 23.7 million. The result represents an 8.0% average return
on shareholders' equity.

In view of the continued profitable operations of the Company, the Board
recommended a cash dividend of 7.5% on paid-up capital (7.5 cents per share)
amounting to US$ 16.5 million.

The reinsurance book grew by 50% to US$ 250 million (2006: US$ 166.3 million).
Investment earnings also increased by about 40% to US$ 53.7 million for the year
(2006: US$ 38.4 million), representing an average rate of return on investments
of 7.7% (2006: 5.8%).

"The Board remains cautiously optimistic that Arig will continue to optimize its
business model and improve on returns from its reinsurance operations despite a
challenging industry and a volatile world economic climate" said Mr. Ali Al
Bustani.

The General Assembly also elected members of the Board of Directors for the next
three years. Mr. Majed Ali Omran Al Shamsi and Mr. Fathi Emhimed El Hagi have
now joined the Board as new members replacing Mr. Ali Ibrahim Kajoor and Dr.
Omar E. Al-Hossomi. Mr. Al Bustani thanked the outgoing Board members, who over
the course of their association, have contributed immensely to the Company.

The shareholders reappointed KPMG as Arig's auditors for the financial year
2008.

Following the shareholders' meeting, the new Board of Directors re-elected Mr.
Khalid Al Bustani as Chairman and Mr. Khalid Bin Kalban as Vice Chairman and
also reconstituted the Audit and Executives Committees.

About Arig

Arab Insurance Group (Arig) is one of the largest Arab-owned, professional
reinsurance providers in the Middle East and North Africa. Arig is listed on the
stock exchanges in Bahrain, Dubai and Kuwait and offers a wide range of
reinsurance products and services. Arig's subsidiaries include Takaful Re
(Dubai), Gulf Warranties (Bahrain) and ARIMA Insurance Software (Bahrain).
Additional information about Arig can be obtained at www.arig.net

For further information, please contact Amel Dardour, Corporate Communications,

Tel: +973 17 544 357, Fax: +973 17 531155, or email: dardour.a@arig.com.bh

This information is provided by RNS
The company news service from the London Stock Exchange
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