Commercial International Bank Legal & General Life Insureance Co.

completed

Summary Of Project Information (SPI)Project NameEgypt-Commercial International Life Insurance CompanyRegionCentral Asia, Middle East and North AfricaSectorProject No008486Projected Board DateDecember 15, 1997Company NameCommercial International Life Insurance Company (an affiliate of Legal & General Group Plc.) (Proposed)Technical Partner and/or Major Shareholders 1. Commercial International Bank (CIB): CIB is the largest private sector wholesale bank in Egypt. 2. Legal & General Group Plc. (L&G): L&G is one of the largest insurance companies worldwide and the second largest life insurance company in the UK, enjoying a AAA rating from S&P and AA1 from Moody’s.Project Cost Including proposed IFC investment Commercial International Life Insurance Company (an affiliate of Legal & General Group Plc.), to be established, with a maximum authorized capital of LE 100 million (US$30 million equivalent). IFC investment of up to LE 10 million (US$3 million equivalent) in CILIC for a 10% stake in the new Company.Location of project and Description of site Cairo, EgyptDescription of Company and Purpose of Project IFC’s role in the project is multi-faceted. Firstly, IFC has introduced the L&G to CIB and is serving its traditional “honest broker” and “neutral partner” role. Secondly, IFC’s involvement provides a comfort to CIB, L&G and Government of Egypt (GOE). Thirdly, IFC’s continued advice and dialogue with the regulators on matters relating to financial sector development are viewed as being important by all parties to suggest further changes in the insurance sector, which would benefit positively both the industry and the country’s capital markets. The development impact of this project will be substantial, as: (a) it will establish Egypt’s first joint-venture life insurance company (existing players are either effectively subsidiaries of international companies or local firms without international expertise), providing a strong demonstration effect for others; (b) it will develop further local investment and resources, stemming the outflow of potential investment resources from the country; and (c) as a key component of development of the capital markets, the development of a life insurance market in Egypt is expected to have significant downstream impact on the development and emergence of related financial services, particularly the pensions and investment management businesses.Environmental Category and Issues This is a category C project according to IFC’s environmental review procedure. No further environmental review is required.Date SPI sent to PIC November 11, 1997“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 974-4384