The management of the Company believes that Al-Mouwasat has a number of competitive advantages and added values that distinguish its services from its competitors including the following:

Focused Business Strategy

The Company has a thorough understanding of Saudi Arabia's healthcare market potential and requirements, together with a focused business strategy to serve customer segments. This is being achieved through increased emphasis on operational efficiency and effectiveness.

Good Profitability Level and Stable Financial Position

Given the steady growth and profitability of the Company and its stable financial position together with its strategic plan based on its actual and accurate understanding and analysis of the market where it operates, The Company has planned to establish a wide medical network that covers several geographic areas and several cities within the same area to consolidate its presence in the market of medical services.

Favorable Economic and Business Environment

The economic environment where the Company operates is ideal in terms of its population growth rate and increasing demand for medical services. Government authorities constantly provide support to the private sector encouraging further increase in contribution to the national economy in general and promoting the standard of medical services. The Company is dedicated to utilize such favorable economic conditions.

Strong Reputation

The Company has successfully built a strong reputation over the past three decades due to the high quality medical services provided to its individual beneficiaries and corporate customers.

Wide Client Base

Saudi Aramco has been Al-Mouwasat's client since 1996. The client list of Al-Mouwasat also includes SABIC group of companies, General Organization of Social Insurance and a number of major insurance companies operating in Saudi Arabia, Saudi Airlines, cement companies, Petromin Refinery and others.

Developed IT Systems Supported by Qualified Technical and Management Staff

The Company applies an integrated information system that it constantly develops to support its operations and provide the Management with required information and reports to enhance performance and strategic decision making.

The Company has in place developed technology systems and high caliber technical staff with international standard experience in all areas of the management of hospitals and medical services in general. The management team of the Company has extensive experience in all areas and businesses of the Company. The human caliber of the Company includes various nationalities and backgrounds that combine wide international and local experience. Al-Mouwasat operates with a series of technical and management regulations and procedures that ensure optimum utilization of available resources and achievement of best results based on highly effective performance standards and indicators and implementation potential.

Joint Cooperation Agreements

The Company has had joint cooperation agreements made with a number of major international medical centers, which have substantial impact on excelling in the medical services provided by the Company to match those of international hospitals and medical centers.

Continuous Efforts to Become Internationally Accredited Medical Center

The Company has sought to obtain the necessary international accreditation of its hospital network including JCI for quality assurance and compliance with world standards. The Company has already obtained the first accreditation for its hospital in Dammam, which JCI accredited in 2006. Work is ongoing for the accreditation of the Company's other hospitals.

Comprehensive Services

The Company provides a wide range of medical services that ensure accommodating and serving all customers, and, consequently, supporting the Company capability to achieve stable income rates.

External Contracts Network

The Company has in place a wide external contract network covering most Arab countries, Europe, Africa and Canada, which has helped the Company in the recruitment of best human resources to work in its medical network.

Extensively Experienced Management Team

The management team of the Company has:

• high qualification and competence in future planning in respect with the future demand on the medical services;
• high capability in the management of the medical network to ensure high quality of provided services;
• extensive experience in the area of financial and information systems that widely help the management of planning and control programs; and
• capability to utilize the modern facilities and methods in preparing prospects of the market volume and contribution percentage in both the short and long terms through the medical networks.

The environment in which the Company operates has changed significantly in the last few years. This includes the establishment of new medical services such as the Cardiac care center and the establishment of bodies such as the National Plan for Health Insurance.

In order to achieve its goals, the Company plans to change radically the way care is provided as part of the local health community. Some of the areas where changes are expected to occur are developing closer partnerships with other organizations in order to pursue a whole community approach to healthcare; offering the facility for all non-emergency patients to agree to a hospital appointment at their convenience; expanding the number of doctors, nurses and allied health professionals as well as extending roles to develop multi-disciplinary treatment pathways.

The Company's future plans include the following key targets to be achieved over the next five years:

• Provide a complete range of primary health care services to the community
• Obtain and maintain JCI accreditation
• Provision of pharmaceutical services with a regional reputation in quality
• Expansion of services to become the leading health care provider in the region
• Prepare the organization for a paperless system
• Increase the Company's market Share by 5%
• Improve financial monitoring
• Attract and retain qualified staff

In order to achieve the Company's future plans and meet the increasing demand for healthcare services in the Kingdom, the Company has plans to expand its current facilities and to establish new facilities in high potential areas as well as to offer new healthcare services. [Al-Mouwasat future prospects include the following:

Expanding Existing Facilities

• Expanding Al-Mouwasat hospital in Dammam: current outpatient clinics with the size of 43 clinics will be shifted to a new adjoining tower with the size of 100 clinics and setting up 28 additional executive and deluxe suite rooms in order to meet the growing demand for luxurious rooms. Furthermore, the dental, physiotherapy and dialysis units shall also be expanded.

• Expanding Al-Mouwasat Hospital in Jubail: the Company currently caters to the 70% medical needs of SABIC group of companies. Jubail and current inpatient facility of 84 will be expanded to accommodate 30 inpatient rooms and 12 additional clinics.

Establishing New Facilities

• Establishing a new Dammam Dispensary: the purpose of this facility is to shift the existing facility to the new facility on a land area of 5,000 m2, which consists of outpatient cumulative skin facility, cosmetology center, day care center, minor operating room, cosmetology center with complete radiology services and a complete laser unit to cater to the growing need of cosmetic surgery services.

• Establishing a new Riyadh Hospital: the Company plans to establish a new hospital in Riyadh with 120 beds in order to expand the current customer base apart from the existing Riyadh Hospital facility.

• Establishing new facilities in new destinations: the Company is currently analyzing three other avenues to expand the network of Al-Mouwasat medical services in areas such as Qatif, Jeddah and Bahrain.