Kamco Q2 profit dives 95pc

Dubai, August 4, 2009

Kuwaiti fund manager Kamco, cited in a legal action by the US authorities, has reported a 94.82 percent slump in its second-quarter profit.

Kamco said in a statement posted on its website that its profit in the quarter fell to KD275,760 ($961,000) from 5.321 million dinars in the same period a year ago.

The company did not provide a reason for the decline but said in a statement it would continue to take a cautious approach towards capital markets.

Kamco is part of Kuwait Projects Company, the country's biggest investment company by assets, which reported a 56.5 per cent fall in its second-quarter net profit on higher provisions.

The US Securities and Exchange Commission (SEC) last month filed lawsuits against a Kuwaiti financier and two Gulf firms -- Bahrain-based investment bank, United Gulf Bank and Kamco -- accusing them of having improperly earned millions of dollars from share trades in two U.S. firms.

Kamco has said it made no gains from the trades.

The financier, Hazem Al-Braikan, was found dead in an apparent suicide last month. – Reuters

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