During the year under review, Arif Habib Group has committed a sum of Rs.100 million in six-monthly instalments of Rs.10 million over a period of five years for the development of facilities and infrastructure at Institute of Business Administration (IBA). IBA is the oldest business school outside North America. It was established in 1955 with initial technical support provided by the world famous Wharton School of Finance, University of Pennsylvania. Later, the University of Southern California set up various facilities at the Institute and several prominent American professors were assigned to the IBA. In spite of a rapid increase in the number of business schools, the IBA has maintained its position as the premier institution of higher learning in the field of management and business administration. IBA programs are designed to provide world-class professional managers and entrepreneurs for the business and industry in Pakistan. Arif Habib Group has also offered to extend its assistance for administration and management of General Endowment Fund as Independent Friend of IBA Trust.

During the year, AHCL has donated an amount of Rs.10 million, being the first instalment of the Groups' committed contribution towards the cause of setting up an educational institution of international standard to Habib University Foundation (HUF). HUF is a not-for-profit organization which supports educational initiatives, research and innovation and was established in October 2007 by the House of Habib. The foundation develops and supports a diverse portfolio of programs which aim at establishing dynamic learning spaces. Some of HUF's major initiatives include: establishing a world-class Habib University, enhancing marketable skills for the youth (Institute for Advancing Careers and Talents - iACT), and various other philanthropic projects that facilitate in improving access to quality education.

AHCL has also donated an amount of Rs. 1 million, Rs. 0.5 million and As. 0.25 million during the year to Lahore City University for building an Art Studio, Pakistan Memon Jamaat and Institute of Business Management respectively for educational purposes.

Prior to the current financial year, AHCL had contributed to initiate the Karachi School for Business and Leadership (KSBL) project. This step was taken at a time when a group of Pakistani business and corporate leaders recognized that Karachi, the business and commercial hub of Pakistan, needed a world-class business institution. This dream started to evolve into reality with the founding of the Karachi Education Initiative (KEI), a non-profit organization registered under Section 42 of the Companies Ordinance, with the goal of establishing an top-class, international graduate business school i.e. KSBL. which is envisioned to be a graduate management school that would offer high quality leading-edge programs to the many talented young men and women of this country as well as accept graduates from abroad. KSBL is designed as a school with a social conscience that will promote economic and social change by developing leaders who will impact organizations through their knowledge, skills and expertise as well as contribute to business excellence by ensuring the application of highly professional and ethical practices in the national and international marketplace. As a new institution, KSBL gained immediate credibility when it entered into a Strategic Collaboration Agreement with the University of Cambridge Judge Business School in the spring of 2009. Under this agreement, Cambridge will provide faculty to teach Executive Education programs for KSBL in Karachi. A University of Cambridge certificate will also be awarded to those participants who successfully complete the programs. Cambridge is also working with KSBL in formulating the curriculum for its graduate and executive education programs. For this notable cause. during 2011, AHCLs Board of Directors approved a contribution of As. 103 million from and on behalf of the Arif Habib Group towards the construction of this institution. The full-time MBA program will commence in the fail of 2012, followed by the working professional MBA program in 2014.

Furthermore, Fatima Fertilizer Education Society (FFES), a registered organization is effectively running an English medium school to meet the educational needs of its employees' children. This institution is being run by a top professional faculty of educationists and has given outstanding results during the past three years. FEES has further started a comprehensive program of adopting the neglected government schools of the area. Through this program, FFES will not only meet the deficiencies of the school building, staff and syllabus but will also devote attention to teacher training, talent scholarships and student nutrition. In addition, the Resident Manager of FFCL has been appointed as a member to the Board of Governors of Danish Schools by the Government of Punjab for future management purposes. FFCL has also contributed generously towards Danish School Rahim Yar Khan, aimed at providing high-standard education to orphans and deprived children of Rahim Yar Khan.

The Progressive Education Network (PEN) is an organization working to foster a wide network of schools across Pakistan. improving enrolment and providing quality education to unprivileged children. During 2011, both FFCL and PFL contributed Rs. 1 million each to PEN.

Several group companies also participated in the National Outreach Program at the Lahore University of Management Sciences (LUMS). This program is an initiative that was launched in 2001 with the objective of providing educational opportunities to bright students from small cities, villages and rural 'backwaters', who were unable to meet the regular fee requirements. Both FFCL and PFL participated by contributing Rs.4 million to the sponsoring of 8 deserving students from South Punjab through the four-year degree program. PFL also donated Rs.7 million for the construction of an auditorium at LUMS.

PFL has also opened a school, Pakarab Public School (PPS). PFL will provide free books and stationery to the children of staff employees enrolled at the school. A fully equipped library, with books on every subject, has been set up and funds provided for a computer lab in order to further improve the school's facilities.

A `Dastkari' school is also functioning at PFL, where girls are taught skills such as hand-designing and embroidery. Efforts are currently underway to affiliate this school with a vocational institute so that the degree is recognized.

Javedan Corporation Limited (JCL), another group company, allocated a plot measuring 1 Acre at Naya Nazimabad Housing Project scheme to The Citizens' Foundation' (TCF) for the establishment of a school. The total establishment cost of this venture has been committed by JCL. The operational cost per year from April 2012 will be Rs. 1.5 million. TCF will charge a nominal tuition fee to its students. The actual cost incurred to run the school will be far greater, the balance of which will be funded by JCL on a continuous basis. During the year, JCL has donated an amount of Rs. 10.875 million to TCF.