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[Page 2]

Saunders Law

Ltd

Olga Boltenko
Legal Counsel
Permanent Court of Arbitration
Peace Palace, Carnegieplein 2
2517 KJ The Hague
The Netherlands
Email - [email protected].

26 February 2013

Our Ref : SKK/BAH0005-1-0/4653
Your Ref : PCA Case No – 2012-07

Dear Ms Boltenko

Re: PCA Case no 2012-07 – Mohamed Abdel Raouf Bahgat v. The Arab Republic of Egypt - In arbitration held under Bilateral Investment Treaties Between Finland and Egypt dated 5 May 1980 and March 2004 and under the UNCITRAL Arbitration Rules

We have considered the contents of the Bifurcation application made by Egypt in this arbitration and are instructed to advise as follows.

The Respondent's application questioning the Tribunal's jurisdiction is without any merit and the Claimant will respond to this application in due course. In the meantime bearing in mind Article 21.4 of the UNCITRAL Arbitration rules, with a view to reducing avoidable expenses and costs and entirely without prejudice to our client's rights and claims, we write to advise that the Claimant does not oppose the Respondent's application for bifurcation.

In accordance with the terms of the Procedural Order No 1 we therefore look forwarding to receiving the Respondent's Memorial on Jurisdiction by 15 July 2013 upon receipt of which the Claimant is required to serve his Counter Memorial by 30 August 2013.

Yours sincerely

Signature

Subir Karmakar
SAUNDERS LAW LTD

TEL + 44 (0) 20 7632 4300
FAX + 44 (0) 20 7836 7975
Essex Hall
1-6 Essex Street
London WC2R 3HY
EMAIL [email protected]
DX 37995 Kingsway

Limited Company No 7636604 registered in England and Wales. Registered office 1-6 Essex Street, London WC2R 3HY
A list of Directors may be inspected at this office. Authorised and Regulated by the Solicitors Regulation Authority. We do not accept service by fax or email.

[Page 3]

Saunders Law

Ltd

Copy to
Professor Rudiger Wolfrum
Email - [email protected]

Presiding Arbitrator

Professor W. Michael Reisman
Email - [email protected]

Arbitrator appointed by Mr Bahgat

Professor Francisco Orrego Vicuna
Email - [email protected]

Arbitrator Appointed by Egypt

And to

Mr Samuel Wordsworth
Email - [email protected]

Professor Andrew Newcombe
Email - [email protected]

Claimant’s Co-Counsel

Counselor Mohamed El-Sheikh
Egyptian State Lawsuits Authority
10th Floor
Mogamaa Building
Tahrir Square
Cairo, Egypt

Email - [email protected]
[email protected]
[email protected]
[email protected]
[email protected]

Mr Christoph Delanoy
Email - [email protected]

TEL + 44 (0) 20 7632 4300
FAX + 44 (0) 20 7836 7975
Essex Hall
1-6 Essex Street
London WC2R 3HY
EMAIL [email protected]
DX 37995 Kingsway

Limited Company No 7636604 registered in England and Wales. Registered office 1-6 Essex Street, London WC2R 3HY
A list of Directors may be inspected at this office. Authorised and Regulated by the Solicitors Regulation Authority. We do not accept service by fax or email.

[Page 4]

Saunders Law

Ltd

Mr Raed Fathallah
Email - [email protected]

Representing Egypt

TEL + 44 (0) 20 7632 4300
FAX + 44 (0) 20 7836 7975
Essex Hall
1-6 Essex Street
London WC2R 3HY
EMAIL [email protected]
DX 37995 Kingsway

Limited Company No 7636604 registered in England and Wales. Registered office 1-6 Essex Street, London WC2R 3HY
A list of Directors may be inspected at this office. Authorised and Regulated by the Solicitors Regulation Authority. We do not accept service by fax or email.