Notes to The Consolidated Financial Statement
AL MAZAYA HOLDING COMPANY K.S.C. AND ITS SUBSIDIARIES
31 December 2012
47
During the year, a subsidiary company had pledged shares of the Parent Company, included in treasury shares above
against murabaha payable (Note 19) amounting to KD 3,500,000 (2011: KD 3,500,000).
17. RESERVES
i) Statutory reserve
In accordance with the Companies Law and the Parent Company's Articles of Association, 10% of the profit for the year
attributable to shareholders of the Parent Company (before contributions to KFAS, NLST, directors’ fees and Zakat) has been
transferred to statutory reserve. The Parent Company may resolve to discontinue such annual transfers when the reserve
totals 50% of the paid up share capital.
Distribution of the reserve is limited to the amount required to enable the payment of a dividend of 5% of paid up share
capital to be made in years when accumulated profits are not sufficient for the payment of a dividend of that amount.
ii) Voluntary reserve
The Parent Company’s Articles of Association require that 10% of the profit for the year attributable to the shareholders of
the Parent Company (before contributions to KFAS, NLST, directors’ fees and Zakat) has been transferred to a Voluntary
reserve. There are no restrictions on distribution of general reserve.
18. TERM LOANS
2012
64,802,113
9.98
4,730,554
Number of shares
Percentage of issued shares (%)
Market value (KD)
2011
64,802,113
9.98
4,017,731
2012
32,250,000
10,843,301
2,354,250
Number of shares (numbers)
Cost (KD)
Market value (KD)
2011
32,250,000
10,843,301
1,999,500
2012
KD
7,000,000
31,000,000
38,000,000
Current portion
Non-current portion
2011
KD
4,500,000
38,000,000
42,500,000
16. TREASURY SHARES
