NIG Prospectus - London Stock Exchange

Level: 8 – From: 8 – Thursday, August 9, 2007 – 2:19 pm – mac5 – 3776 Section 07 : 3776 Section 07NIG’s Core Operating Businesses, principal Strategic Investments and principal FinancialInvestments are described further below.NIGCore Operating BusinessesInvestmentsBuildingMaterialsSpecialistEngineeringPetrochemicalsFinancialServicesUtilitiesOil and GasServicesStrategicInvestmentsFinancialInvestmentsCore Operating Businesses• Building Materials: NIG is the largest manufacturer of building materials and relatedproducts in Kuwait. NIG owns and operates 14 factories through its 51 per cent. ownedsubsidiary company, National Industries Company for Building Materials (K.S.C.C.) (NICBM).The products of these factories include insulation aerated concrete blocks, sand lime bricks,plastic pipes and fittings, rocks from its quarries, quick and hydrated lime, cladding mortars,ready mixed concrete, tiles and curbstones, concrete pipes and manholes and interlock tiles.• Specialist Engineering: NIG owns a number of industrial companies engaged in specialistengineering, plastics and metals operating in the United Kingdom (UK), Continental Europeand the United States of America (US). The specialist-engineering group of companies areowned by the BI Group which in turn is owned through intermediate holding companies inthe UK, Guernsey and Bahrain.• Petrochemicals: NIG, through its 72 per cent. owned subsidiary company Ikarus PetroleumIndustries Company KSCC (Ikarus), is engaged in the development of, and investment in,local and regional petroleum and petrochemical ventures.• Financial Services: NIG, through its 51 per cent. owned subsidiary Noor FinancialInvestment Company KSCC (Noor), is engaged in investment and financial activitiesprimarily in Kuwait, the Middle East, Asia and other emerging markets.• Utilities: In 2006 NIG established a 100 per cent. owned subsidiary, Combined NationalIndustries Company for Energy KSCC, to focus on the utility industry, in particular, water,wastewater and power generation, in the GCC region and adjacent countries. In 2005, NIGestablished Denham Investment Ltd. in order to acquire 28.6 per cent. of Karachi ElectricSupply Company Ltd in Pakistan (KESC).• Oil and Gas Services: NIG, through its wholly owned subsidiary, Proclad Group LLC(Proclad) and its ten companies, provides services, including engineering andmanufacturing, to the oil and gas industry using state of the art machinery and technology.Investments (Strategic and Financial Investments)As at 31 December 2006, NIG’s investments in associates, joint ventures and other investmentswere valued at KD 1,008.8 million and included:• Investments in associates: These holdings include Kuwait Cement Company SAKC, EasternUnited Petroleum Services Company KSCC, Marsa Alam Holding Company KSCC, KuwaitNational Real Estate Investment and Services Company KSCC and Kuwait PrivatisationProject Holding Company SAKC.65