Press Release

JCR-VIS reaffirms ratings of NBP Capital Limited at A/A-1

Karachi, July 5, 2006: JCR-VIS Credit Rating Company Limited has reaffirmed the medium to long term entity rating of NBP Capital Limited (NBPCL) at ‘A’ (Single A) with ‘Stable’ outlook. Short-term rating has also been reaffirmed at ‘A-1’ (A-One). Being a wholly owned subsidiary of National Bank of Pakistan (NBP), the ratings assigned to NBPCL draw support from the parent’s strong franchise value.

Capitalization and liquidity indicators are expected to remain strong. NBPCL has exhibited growth in its financing portfolio during the last year. Core profitability indicators were however depressed on account of higher cost of funds. This trend has been experienced throughout the NBFCs sector. Some recovery has been posted in the first quarter of the current year though improving profitability from core operations may remain challenging as the environment becomes increasingly competitive. The company has acquired the license to initiate asset management services, which will expand the scope of business activities, going forward. The management resources will require to be strengthened as the company expands operations.

For further information on this rating announcement, please contact the undersigned ( / ext: 221) or Ms. Sabeen Saleem ( / ext: 222) at 5671822/5671833/5680996 or fax to 5681105/5671600.

Safdar Kazi

Information herein was obtained from sources believed to be accurate and reliable; however, JCR-VIS Credit Rating Company Limited (JCR-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. JCR-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. JCR-VIS is not an NRSRO and its credit ratings are not NRSRO credit ratings. JCR-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 2006 JCR-VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to JCR-VIS.

JCR-VIS Credit Rating Company Limited