JEDDAH, 14 February 2007 — Against a backdrop of strong economic fundamentals, this early, the newly formed Construction Products Holding Company (CPC) disclosed its grand plan to establish an industrial zone in Riyadh to cope with ever-growing construction development in the Kingdom.

CPC, a Saudi closed joint stock company, has also revealed acquisitions of land in other areas of the Kingdom, on top of related investment in the Gulf region, to streamline the supply of construction materials in areas being developed.

Dr. Faysal Alaquil, CPC’s director of Business Development, said the 200,000-square meter industrial complex in Riyadh shows that the Kingdom remains the foremost market for the company, despite its regional expansion.

As a further manifestation of its commitment, he said the CPC plans also to transfer under one roof the group’s existing construction-related factories.

Alaquil revealed that the group has purchased an 840,000-square meter land in Bahra, located between Jeddah and Makkah, to serve as a base for all its building and construction products.

Bahra Company for Construction Steel was already established there covering an area of 40,000 square meters. He said the presence of all the factories in one industrial area will facilitate the provision of supporting services and reduce the cost of managing all the factories, thus strategically realigning CPC through expansion in the industrial and construction markets.

He noted that the prevailing competitive environment in the region as a result of booming economy — in the Kingdom in particular — serves as a catalyst for “one- stop shop for a single company providing all the needs of modern construction.”

CPC has just recently entered into an agreement with Arkan Building Materials of Abu Dhabi to establish 6 limited liability factories for producing building materials, plus one transport company in Abu Dhabi. Moreover, CPC had purchased a 265,000-square meter lot in the industrial zone of Adra, Syria, for building an industrial complex to boost its presence in the neighboring countries.