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AL-MAZAYA HOLDING COMPANY - K.S.C. (PUBLIC)
AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2023
(All amounts are in Kuwaiti Dinars)

When a group entity undertakes its activities under joint operations, the Group as a joint operator recognizes
in relation to its interest in a joint operation:
• Its assets, including its share of any assets held jointly.
• Its liabilities, including its share of any liabilities incurred jointly.
• Its revenue from the sale of its share of the output arising from the joint operation.
• Its share of the revenue from the sale of the output by the joint operation.
• Its expenses, including its share of any expenses incurred jointly.

The Group accounts for the assets, liabilities, revenues and expenses relating to its interest in a joint operation
in accordance with the IFRSs applicable to the particular assets, liabilities, revenues and expenses.

When a group entity transacts with a joint operation in which a group entity is a joint operator (such as a sale
or contribution of assets), the Group is considered to be conducting the transaction with the other parties to the
joint operation, and gains and losses resulting from the transactions are recognized in the Group's consolidated
financial statements only to the extent of other parties' interests in the joint operation.

When a group entity transacts with a joint operation in which a group entity is a joint operator (such as a
purchase of assets), the Group does not recognize its share of the gains and losses until it resells those assets
to a third party.

j) Non-current assets held for sale
Non-current assets (and disposal groups) are classified as held for sale if their carrying amount will be recovered
through a sale transaction rather than through continuing use. This condition is regarded as met only when the
sale is highly probable and the asset (or disposal group) is available for immediate sale in its present condition.
Management must be committed to the sale, which should be expected to qualify for recognition as a completed
sale within one year from the date of classification. Non-current assets (and disposal groups) classified as held for
sale are measured at the lower of the assets’ previous carrying amount and fair value less costs to sell. Non-
current assets once classified as held for sale are not depreciated or amortized. Assets classified as held for sale
are presented separately as current items in the consolidated statement of financial position.

When the Group is committed to a sale plan involving loss of control of a subsidiary, all of the assets and liabilities
of that subsidiary are classified as held for sale when the criteria described above are met, regardless of whether
the Group will retain a non-controlling interest in its former subsidiary after the sale.

When the Group is committed to a sale plan involving disposal of an investment in an associate or, a portion of an
investment in an associate, the investment, or the portion of the investment in the associate that will be disposed
of is classified as held for sale when the criteria described above are met, and the Group ceases to apply the equity
method in relation to the portion that is classified a held for sale. Any retained portion of an investment in an
associate that has not been classified as held for sale continues to be accounted for using the equity method.

Any impairment loss on a disposal group first is allocated to goodwill, and then to remaining assets and liabilities
on pro rata basis, except that no loss is allocated to inventories, financial assets, deferred tax assets, employee
benefit assets, investment property and biological assets, which continue to be measured in accordance with the
Group’s accounting policies. Impairment losses on initial classification as held for sale and subsequent gains or
losses on remeasurement are recognized in the consolidated statement of profit or loss. Gains are not recognized
in excess of any cumulative impairment loss.

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