Press Release

JCR-VIS reaffirms ratings of Arif Habib Bank Limited (formerly Arif Habib Rupali Bank Limited) at A/A-2 with a Stable Outlook

Karachi, June 17, 2008: JCR-VIS Credit Rating Company Limited has reaffirmed the entity ratings of Arif Habib Bank Limited (AHBL) (formerly Arif Habib Rupali Bank Limited) at ‘A/A-2’ (Single A / A-Two). Ratings had been placed under ‘Rating Watch – Developing’ status in June 2007 as the decision to merge Arif Habib Securities Limited with AHBL was being reconsidered. JCR-VIS has now removed the ‘Rating Watch’ and assigned a ‘Stable’ Outlook due to injection of additional equity via a right share issue in September 2007 and subsequent listing through an IPO conducted from December 29, 2007 to January 02, 2008. Merger plans have been deferred for the time being.

Ratings take into account financial strength of the major sponsors of the bank who have presence in the fertilizer, cement, brokerage, asset management and steel sectors. Quality of assets is sound and the bank has remained profitable while there has been improvement in commission based income during 1Q08. However, the business mix needs to be further optimized to ensure sustainable results and the management is making efforts in this regard.

For further information on this rating announcement, please contact Mr. Safdar Kazi (Ext: 501) or Ms. Sobia Maqbool (Ext: 506) at 5311861-70 or fax to 5311872-3.



Faheem Ahmad
President & CEO

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report. VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright June 17, 2008 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.