JEDDAH, 14 September 2005 — The Saudi stock index crossed 14,800 points yesterday with a minor 30.36 points increase over Monday’s closing. The Tadawul All Share Index (TASI) closed at 14,800.69. The Banking, Telecom and Insurance indices were lower while Industrial, Cement, Electricity and Agricultural indices increased yesterday.

Saudi Advanced shares recorded 7.48 percent increase to close at SR733, followed by Assir by 7.11 percent at SR655 and Al Ahsa for Development Co. by 6.36 percent at SR351.

Alujain shares dropped 1.17 percent at SR358.75 followed by Saudi Telecom Co. by 0.82 percent at SR938.25 and Arab National Bank by 0.76 percent at SR915.

The cement companies showed mixed performance while agriculture firms were trading slightly higher yesterday.

However, Saudi Basic Industries Corp. shares closed slightly lower at SR1,618.50.

Saudi Electricity Co. was most active by volume at 16,821,244 with its shares closing at SR146.50.

Dr. Muhammad Shams, a stock market analyst, advised investors holding Savola stocks to keep them until the end of the year when annual results of the company would be out. He also expected that Etihad Etisalat would increase its capital by the end of this year after receiving approval from the Capital Market Authority.

Meanwhile, UAE’s First Gulf Bank has announced a proposed increase in the foreign shareholding of the bank from 15 percent to 30 percent. The board of directors will meet on Oct. 2 to ratify the proposal for the next shareholder’s Extraordinary General Meeting, according to the information received here on Monday.

Abdulhamid Saeed CEO of FGB stated: “We were the first bank in the UAE to allow foreign participation in the banking sector. Based on the overwhelming response from foreign investors, we have decided to further open foreign ownership to 30 percent. The UAE is a highly attractive market for foreign investors considering the lower risk and attractive returns on investment.”

The agenda of the board of directors meeting also includes a review of the bank’s third quarter results. The bank reported a net profit of AED465 million for the first half of 2005, a 357 percent increase over the same period in 2004. The profit increase was the highest across all UAE banks.

First Gulf Bank also increased its equity by 5 billion dirhams to 7.2 billion dirhams in July 2005, making it the biggest in the UAE. With the increase in equity, First Gulf Bank will play a key role in the domestic economy by supporting major infrastructure projects in various business sectors.