Stock Dividend Distribution

Cairo, August 12, 2008 10:00 hrs Cairo time (08:00 hrs GMT)

Capital increase of EGP 210 million will take Issued and Paid‐In Capital to EGP 1,050 million

Egyptian Resorts Company (EGX: EGTS.CA), Egypt’s largest master developer of Mega Resort Communities announced today an increase in the company’s issued capital from EGP 840 million to EGP 1,050 million through a free share dividend of 1 for every 4 at the par value of EGP 1 per share. The capital increase is financed from FY ending December 31st 2007 retained earnings. The stock dividend is payable on August 28, 2008 to shareowners of record at close of business on August 27, 2008.

The capital increase gives more weight to Egyptian Resorts Company as it looks to increase its land bank through the acquisition of new virgin plots suitable for Mega Resort Community Development along the same lines as Sahl Hasheesh International Resort Community.

Dr. Ibrahim Kamel, Chairman of the Board of ERC, commented on the capital increase. “The board had previously set a goal of EGP 1 billion as a target paid‐in‐capital and we have now achieved this goal. The new capital base will help ERC implement its land bank growth strategy.”

—ENDS—

About ERC
Egyptian Resorts Company S.A.E. (EGX:  EGTS.CA) is a master developer of international standard resort communities on a fully-integrated management basis. The company is incorporated in Egypt and headquartered in Cairo. Egyptian Resorts Company acquires broad land holdings suitable for premium mega resort development at nominal value. The company then creates a master plan in partnership with global architectural and urban planning firms, builds state-of-the-art infrastructure, implements design guidelines and community management rules and regulations, and then on-sells individual pre-designated plots to sub-developers and investors whose primary businesses are hotel ownership, operation and management, as well as luxury resort and residential real estate development. ERC is developing multiple recurring revenue streams that include the supply of utilities (water, electricity, communications) through its project partners, and community management and maintenance fees, as well as revenues generated by Sahl Hasheesh Company.

Investor Contact (ERC)
Abu-Bakr Makhlouf | Telephone +202 2735 8427
Head of Investor Relations | Fax +202 2735 2743
Egyptian Resorts Company | email abmakhlouf@erc-egypt.com